The City of Philadelphia has successfully priced $424 million in Gas Works Revenue Bonds, with a significant portion—$315 million—earmarked for vital infrastructure improvements within the Philadelphia Gas Works (PGW). This bond issuance combines a refinancing component with new funding for ongoing capital projects, resulting in $7. 8 million in net present value savings. Ahead of the sale, Fitch Ratings upgraded PGW's outlook to ‘A’ Positive, reflecting a strong and improving financial profile. Investor confidence was evident, with 66 different investors submitting orders that totaled over five times the bonds available for sale.

This high demand allowed PGW to further reduce interest rates, leading to a $3. 2 million decrease in expected debt service costs. The final all-in true interest cost for the transaction is approximately 4. 14 percent, showing favorable credit spreads compared to previous issuances. City Treasurer Jackie Dunn noted that the strong interest from investors is a testament to PGW's sound financial management.

The bonds were sold by an underwriting syndicate led by JP Morgan Securities LLC, with the transaction closing on September 18, 2024.