In OFA’s Traditional Bond limited offering program, the bonds are sold to qualified institutional investors (QIBs), which typically are bond funds and financial institutions. Unlike publicly offered bonds in OFA’s Traditional Bond program, bonds offered through a limited offering are not required to be rated (or to be investment grade if they are rated) but the terms and risks of the financing must be adequately disclosed to potential investors in much the same way as terms and risks are disclosed for publicly offered bonds.
Traditional Bond (Limited Offering) – Application and Instructions
Borrowers and their financial and legal advisors should confer with OFA’s staff prior to making an application to issue through the OFA Traditional Bond limited offering program.