Cambridge to sell bonds

Steve Dinneen
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CAMBRIDGE University is considering selling bonds for the first time in its history.

The university is following the lead of several Ivy League institutions that have benefited from the scheme. It hopes to raise £300m to invest in new buildings.

The university’s director of finance Andrew Reid told City A.M.: “This is something we have been looking into for years but it is only recently we have looked at amounts.

“We will be moving forward with the plans in 2010 and may either sell bonds or borrow from a bank.

“We have received advice from several banks but not from independent financial advisors.”

The recommendations were made by the Cambridge Board of Scrutiny, an office set up to ensure the university’s finances run smoothly.

Their report urged the institution to “proceed with a long-dated issuance in the fixed-interest markets while conditions remain favourable.”