Behind the Deal: North East Carolina Preparatory School
Aggressive Marketing Campaign Drives Investor Participation
North East Carolina Preparatory School opened its doors for the 2012-2013 school year, serving approximately 400 students in grades K-8 during its first year, and has since remained the only charter school in Edgecombe County, North Carolina. Since that time, enrollment has grown to roughly 1,000+ students in grades K-12. Additionally, it is now operating a pre-K program with approximately 28 students for the 2023-2024 school year. The School’s mission is to teach and inspire through a challenging curriculum that integrates technology, experiential learning, and critical thinking skills; promote diversity; emphasize involvement of students, parents, and highly trained staff; and create student leaders, all in preparation for post-secondary success. The School is one of two schools in the State that to offer a pre-K agricultural program with the ability to join the School’s Future Farmers of America (“FFA”) club starting in grade 6.
North East Carolina Preparatory School used the proceeds of the Series 2024 Bonds to refinance the outstanding debt and to secure funding for capital improvements. The bonds funded capital improvements including the installation of athletic fields and the construction of athletic field houses, allowing the School to begin middle and high school track programs.
Baird’s National Charter School Finance team served as sole managing underwriter on the $28,660,000 Baa3-rated transaction for North East Carolina Preparatory School. On the day of pricing, the transaction received significant interest from investors driven by an aggressive marketing campaign by Baird’s banking team and underwriting desk. Baird recommended pursuing a bond rating for the School’s 2024 Bonds, and market reception was further enhanced by the investment grade rating achieved by the School.
