Credit Acceptance Announces Closing of $600.0 Million Senior Notes Offering and Completion of Tender Offer for Senior Notes Due 2024
20 12월 2023 - 6:02AM
Credit Acceptance Corporation (Nasdaq: CACC)
(referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or
“us”) announced today the closing of the Company’s previously
announced offering of $600.0 million aggregate principal
amount of its 9.250% senior notes due 2028 (the “notes”) at an
issue price of 100% of the principal amount of the notes in a
private offering exempt from registration under the Securities Act
of 1933, as amended (the “Securities Act”).
The Company also announced today the completion
of its previously announced cash tender offer (the “Offer”) for any
and all of its 5.125% senior notes due 2024 (the “2024 notes”),
which expired at 5:00 p.m., New York City time, on
December 14, 2023 (the “Expiration Time”). A total of
$322,270,000 aggregate principal amount of 2024 notes was validly
tendered and not validly withdrawn at or before the Expiration
Time, representing approximately 80.6% of the $400.0 million
aggregate principal amount of 2024 notes then outstanding. The
complete terms and conditions of the Offer were set forth in the
Offer to Purchase, including the related Notice of Guaranteed
Delivery, dated December 5, 2023 (the “Offer to Purchase”),
and in the related Letter of Transmittal.
The Company today accepted for purchase and paid
for all the 2024 notes validly tendered in the Offer and not
validly withdrawn at or before the Expiration Time. Holders of 2024
notes who validly tendered (and did not validly withdraw) their
2024 notes in the Offer at or before the Expiration Time received
in cash $1,000 per $1,000 principal amount of 2024 notes accepted
for purchase pursuant to the Offer to Purchase, plus accrued and
unpaid interest to, but not including, the payment date.
The Company further announced today that it will
redeem all of the 2024 notes that were not purchased in, and remain
outstanding following the completion of, the Offer, in accordance
with the indenture governing the 2024 notes (the “2024 notes
indenture”). The Company has provided an irrevocable notice to U.S.
Bank Trust Company, National Association, the trustee under the
2024 notes indenture (the “Trustee”), of its election to redeem on
December 31, 2023 (the “Redemption Date”), in accordance with
the terms of the 2024 notes indenture, all of the outstanding 2024
notes. Such 2024 notes will be redeemed on the Redemption Date at a
redemption price equal to 100.000% of the principal amount thereof.
Information concerning the terms and conditions of the redemption
is provided in the notice of redemption that will be sent to
holders of the 2024 notes by the Trustee in accordance with the
2024 notes indenture.
The Company expects the net proceeds from the
offering of the notes, after deducting the initial purchasers’
discount and other offering fees and expenses, will be
approximately $591.5 million. The Company used a portion of
the net proceeds from the offering of the notes to fund the payment
of consideration in the Offer and to pay fees and expenses related
to the Offer. The Company intends to use the remaining net proceeds
from the offering of the notes (1) to fund the redemption of
the 2024 notes that remain outstanding after completion of the
Offer and the payment of related fees and expenses and (2) for
general corporate purposes.
The notes were offered only to persons
reasonably believed to be qualified institutional buyers pursuant
to Rule 144A under the Securities Act. This press release
shall not constitute an offer to sell or the solicitation of an
offer to buy, nor shall there be any sale of, the notes in any
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such jurisdiction. The notes will not be
registered under the Securities Act and may not be offered or sold
in the United States or to U.S. persons absent registration or an
applicable exemption from registration requirements. This press
release does not constitute a notice of redemption with respect to
the 2024 notes or an obligation to issue any such notice of
redemption.
Cautionary Statement Regarding
Forward-Looking Information
Statements in this release that are not
historical facts, such as those using terms like “may,” “will,”
“should,” “believe,” “expect,” “anticipate,” “assume,” “forecast,”
“estimate,” “intend,” “plan,” “target,” or similar expressions, and
those regarding our future results, plans, and objectives, are
“forward-looking statements” within the meaning of the federal
securities laws. These forward-looking statements, which include
statements concerning the redemption of the 2024 notes and the
amount and application of the net proceeds from the offering of the
notes, represent our outlook only as of the date of this release.
Actual results could differ materially from these forward-looking
statements since the statements are based on our current
expectations, which are subject to risks and uncertainties. Factors
that might cause such a difference include, but are not limited to,
the factors set forth in Item 1A of our Annual Report on Form
10-K for the year ended December 31, 2022, filed with the
Securities and Exchange Commission (the “SEC”) on February 10,
2023, and Item 1A in Part II of our Quarterly Report on
Form 10-Q for the quarterly period ended March 31, 2023,
filed with the SEC on May 1, 2023, and other risk factors
listed from time to time in our reports filed with the SEC. We do
not undertake, and expressly disclaim any obligation, to update or
alter our statements whether as a result of new information, future
events or otherwise, except as required by applicable law.
Investor Relations: Douglas W. Busk
Chief Treasury Officer
(248) 353-2700 Ext. 4432
IR@creditacceptance.com
Credit Acceptance (NASDAQ:CACC)
과거 데이터 주식 차트
부터 4월(4) 2024 으로 5월(5) 2024
Credit Acceptance (NASDAQ:CACC)
과거 데이터 주식 차트
부터 5월(5) 2023 으로 5월(5) 2024