California Prepares for Sale of $250M in Bonds for Stem Cell Research
State Treasurer Bill Lockyer (D) is preparing to sell $250 million in stem cell bonds in the first sale of voter-approved funding for the California Institute for Regenerative Medicine, the state stem cell research agency, the East Bay Business Times reports (East Bay Business Times, 9/27).
In 2004, California voters approved Proposition 71 to issue up to $3 billion in bonds for stem cell research over 10 years. The measure created CIRM to oversee administration of the funds (California Healthline, 9/17).
CIRM will receive about $200 million of the bonds, while the remaining $50 million will pay the cost of issuing the bonds and retire about $45 million in bond anticipation notes that funded the stem cell agency while legal challenges were resolved, according to Lockyer's office.
On Oct. 3, individual investors can place orders for stem cell bonds, with a minimum buy-in of $5,000. The following day, the sale is open to large institutional buyers, such as mutual funds and insurers.
Lockyer delayed the bond sale from Sept. 27 due to market conditions (East Bay Business Times, 9/27).