Loan & DebtSep 10, 2026, 06:08 AM
Group 1 Automotive Prices $1.25B Senior Notes Offering
AI Summary
Group 1 Automotive, Inc. announced the pricing of a $1.25 billion offering of senior notes, consisting of $625 million in 6.250% senior unsecured notes due 2032 and $625 million in 6.625% senior unsecured notes due 2035. The net proceeds, expected to be approximately $1.236 billion, will be used to fund the previously announced acquisition of certain dealership assets from Hennessy Automobile Companies. Pending the acquisition's closing, the proceeds will be used to repay outstanding borrowings under the company's revolving credit facility. The offering is expected to close on September 22, 2026.
Key Highlights
- Group 1 Automotive priced a $1.25 billion offering of senior notes: $625M of 6.250% notes due 2032 and $625M of 6.625% notes due 2035.
- Net proceeds of approximately $1.236 billion will be used to fund the acquisition of Hennessy Automobile Companies.
- Pending the acquisition closing, proceeds will repay borrowings under the revolving credit facility.
- If the Hennessy Acquisition is not consummated by January 6, 2027, the 2032 Notes will be subject to a Special Mandatory Redemption.
- The notes are offered to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S.
Price Impact
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