Client Transactions

Melio & Company advised The Cleveland Clinic Health System on the issuance of $400 million of Series 2014 Fixed Rate Century Bonds.

Cleveland Clinic logo

In September 2014, the Cleveland Clinic Foundation issued $400,000,000 of Series 2014 taxable fixed rate Century Bonds, which have a bullet maturity of September 1, 2114. The Cleveland Clinic became the first not-for-profit health care borrower to issue Century Bonds, securing quasi-equity, “permanent capital” and favorable interest costs. The bonds were underwritten by Barclays, J.P. Morgan, PNC Capital Markets, Bank of America Merrill Lynch, Pierce, Fenner & Smith and Wells Fargo Securities.

The proceeds from the sale of the Series 2014 Bonds will be used to (i) finance a portion of a 505,000 sq. ft. medical education campus, which would contain the Case Western Reserve University’s medical school and the Lerner College of Medicine; (ii) provide partial funding for a 377,000 sq. ft. outpatient Cancer building; and (iii) pay certain costs and expenses related to issuing the Series 2014 Bonds.