Fortress Delays Record $4.2 Billion Vegas-Train Bond Sale
- Company will sell short-term notes ahead of long-term debt
- Company had said it would sell record muni deal by Sept. 30
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The company that wants to build a high-speed train from California to Las Vegas is delaying its record $4.2 billion unrated municipal-bond sale that was supposed to happen by the end of this month.
The venture backed by Fortress Investment Group’s private-equity funds had said it would sell the debt for its proposed 170-mile (274-kilometer), line to Las Vegas from a southern Californian desert town called Apple Valley by Sept. 30. Instead, it intends to sell $1 billion in short-term securities, to be refinanced by long-term debt later this year, according to Terry Reynolds, director of Nevada’s department of business and industry.