Loan & DebtMay 14, 2026, 06:08 AM
Encore Capital Upsizes Notes to €325M; Refinances Debt
AI Summary
Encore Capital Group priced an upsized offering of €325.0 million senior secured floating rate notes due 2033, initially announced at €300.0 million. These notes will bear interest at three-month EURIBOR plus 3.250%. The company also recently priced a $750.0 million 6.625% senior secured notes offering due 2032. Proceeds from both offerings will be used to redeem existing senior secured notes due 2028 and 2029, and to repay revolving credit facility drawings, completing a full redemption of the €415.0 million notes due 2028. The company's fiscal year 2026 guidance remains unchanged.
Key Highlights
- Encore Capital priced €325.0 million senior secured floating rate notes due 2033, upsized from €300.0 million.
- The new notes will accrue interest at three-month EURIBOR (0% floor) plus 3.250% per annum.
- The company also priced $750.0 million 6.625% senior secured notes due 2032.
- Proceeds from the €325M notes will redeem €215.0 million of its €415.0 million notes due 2028.
- Proceeds from the $750M notes will redeem $500.0 million notes due 2029 and €200.0 million of €415.0 million notes due 2028.
- Following both offerings, the €415.0 million senior secured floating rate notes due 2028 will be fully redeemed.
- The offerings and use of proceeds do not change the fiscal year 2026 guidance.
Price Impact
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