Aberdeen Council £370m bond oversubscribed

Aberdeen City Council leader Jenny Laing opening the London Stock Exchange at the bond issue

Aberdeen City Council leader Jenny Laing performed the opening ceremony at the London Stock Exchange on Tuesday to mark the local authority’s successful £370 million bond issue.

The bond issue was oversubscribed and is a first for a Scottish council.

The £370 million will be used to support a £1 billion transformational capital programme for the city, including the new Aberdeen Exhibition and Conference Centre and the City Centre Masterplan.

Nikhil Rathi, CEO of London Stock Exchange plc, said: “Becoming the first Scottish council to list a bond, Aberdeen City Council has taken the lead in accessing the capital markets to support Aberdeen’s future growth and development.

“We are delighted to welcome Aberdeen City Council to open trading today to celebrate their landmark bond listing.

“Through our extensive product offering and expertise, London Stock Exchange is uniquely placed and committed to supporting new and long-term issuers and investors.”

Cllr Laing, who was joined by finance convener councillor Willie Young and officers led by chief executive Angela Scott at the ceremony, said: “The bond represents one of the most significant achievements in our council’s history.

“We became the first local authority in Scotland to turn to the markets in this way and the process underlines our commitment to innovation — not just in finance but in every aspect of what we do on a daily basis.

“The success of the bond, which was oversubscribed, is a reflection on the confidence investors have placed in Aberdeen City Council and Aberdeen as a whole.

“The message is quite clear — Aberdeen is ready for an exciting new chapter.

“We are in the midst of the largest period of transformation our city has ever seen, with the finance raised through the bond helping us to deliver an array of major projects.

“The plans for the future are not only about bricks and mortar.

“Our Regional Economic Plan sets out a long term vision for internationalisation, investment, innovation and inclusive economic growth. We are proud to be driving that forward.”