SINGAPORE – The second series of bonds issued by Nanyang Technological University (NTU) under its $1 billion medium-term note (MTN) programme on June 30 was more than 1.4 times oversubscribed.
NTU said on July 1 that its orderbook stood in excess of $500 million from banks, fund managers, insurance companies, government agencies and private banks in Singapore.
It issued its second series of bonds, after a successful maiden issuance in 2021.
This will fund activities such as sustainability research and initiatives, educational programmes and infrastructure upgrades.
In a statement on July 1, NTU said the $350 million Singapore-dollar-denominated bonds have a 15-year tenor and a coupon rate of 2.42 per cent per annum.
The medium-term note framework allows an organisation to issue debt securities from time to time to raise funds. NTU’s first issuance in 2021 raised $650 million, comprising 15-year notes with a coupon rate of 2.185 per cent per annum.
OCBC and UOB were appointed as joint lead managers and bookrunners for the latest bond issuance.
NTU senior vice-president of administration Tan Aik Na said: “NTU’s $350 million bond issuance will go towards advancing our NTU2030 strategic goals where leaders and talent create societal impact through education, research and innovation.”
NTU2030 refers to the university’s five-year strategic roadmap, which includes attracting talent to the school, getting students to be AI-ready and future-ready, and pursuing breakthrough discoveries.
Tan added that the success of NTU’s maiden bonds issued in October 2021 demonstrated investors’ trust and confidence in the university.
That issuance, the world’s first publicly offered sustainability-linked bonds by a university, was at least 1.3 times oversubscribed, with orders exceeding $850 million.
The proceeds went towards NTU’s aim of at least halving its gross carbon emissions intensity by 2035 from its 2019 baseline, and achieving carbon neutrality by 2035.
NTU has a credit rating of Aaa, the highest available, by Moody’s Investors Service. The global ratings agency has also issued a “stable” rating outlook for NTU.
NTU is one of only four universities outside the United States with a Moody’s Aaa rating, alongside the National University of Singapore (NUS), Singapore Management University (SMU) and the University of Sydney.
NUS was the first university in Asia to issue a green bond, in 2020. The university issued its third green bond in 2023, raising $340 million for green projects and energy-related initiatives.
In 2025, SMU issued its inaugural sustainability bond, which raised $150 million to advance environmental and social initiatives.
