Loan & DebtMay 13, 2026, 06:47 PM
Encore Capital Prices 325M Senior Secured Floating Rate Notes
AI Summary
Encore Capital Group announced the pricing of an upsized 325.0 million senior secured floating rate notes offering due 2033, with a coupon of three-month EURIBOR plus 3.250%. The proceeds will be used to redeem 215.0 million of its 2028 notes, repay revolving credit, and cover offering expenses. Concurrently, the company launched a $750.0 million 6.625% senior secured notes offering due 2032, whose proceeds will redeem $500.0 million of 2029 notes and 200.0 million of 2028 notes. These refinancing activities will fully redeem the outstanding 415.0 million 2028 notes and result in a net repayment of its revolving credit facility, without changing the fiscal year 2026 guidance.
Key Highlights
- Encore Capital Group priced an upsized 325.0 million senior secured floating rate notes offering due 2033.
- The notes carry a coupon of three-month EURIBOR (0% floor) plus 3.250%, payable quarterly.
- Proceeds from the Euro notes will redeem 215.0 million of its 2028 notes and repay revolving credit.
- The company also launched a $750.0 million 6.625% senior secured notes offering due 2032.
- Proceeds from the Dollar notes will redeem $500.0 million of 2029 notes and 200.0 million of 2028 notes.
- Combined offerings will fully redeem the company's 415.0 million outstanding senior secured floating rate notes due 2028.
- The offerings and use of proceeds do not change the fiscal year 2026 guidance.
Price Impact
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