PRA Group, Inc. (NASDAQ: PRAA), a global leader in acquiring and collecting nonperforming loans, has announced its intention to offer $100.0 million aggregate principal amount of senior notes due 2030 in a private transaction. These notes will be a further issuance of the company’s existing 8.875% senior notes due 2030 and will be issued as additional notes under the indenture dated as of May 20, 2024.
The company plans to use the net proceeds from the offering to repay approximately $100.0 million of its outstanding borrowings under its North American revolving credit facility. The notes will be guaranteed on a senior unsecured basis by each of the company’s existing and future domestic subsidiaries that is a borrower or guarantor under the company’s North American credit agreement.
The offering is being made only to qualified institutional buyers in reliance on Rule 144A under the Securities Act and to certain persons outside of the United States pursuant to Regulation S under the Securities Act.
PRA Group, Inc. returns capital to banks and other creditors to help expand financial services for consumers in the Americas, Europe, and Australia and collaborates with customers to help them resolve their debt.
This announcement does not constitute an offer, solicitation, or sale in any jurisdiction in which such offer, solicitation, or sale is unlawful, and any offer of these securities will be made only by means of a private offering memorandum. The offer and sale of the notes have not been and will not be registered under the Securities Act or any state securities laws. Following these announcements, the company's shares moved -6.8%, and are now trading at a price of $20.8. If you want to know more, read the company's complete 8-K report here.
