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CAI International, Inc. Announces Issuance of $742.7 Million of Fixed Rate Asset-Backed Notes
SAN FRANCISCO--(BUSINESS WIRE)-- CAI International, Inc. (CAI) (NYSE: CAI), announced today that it has completed an offering of $715.9 million Fixed Rate
About this update from Caris Life Sciences, Inc.
[{"type":"text","content":" SAN FRANCISCO--(BUSINESS WIRE)--\nCAI International, Inc. (CAI) (NYSE: CAI), announced today that it has completed an offering of $715.9 million Fixed Rate Asset-Backed Series 2020-1 Class A Notes at an annual yield of 2.235% and $26.8 million Fixed Rate Asset-Backed Series 2020-1 Class B Notes at an annual yield of 3.535% (collectively, the “Notes”). The weighted average annual yield of the Notes is 2.28%.\n\n\nThe net proceeds from the issuance of the Notes will primarily be used to repay at par all of the existing asset-backed notes issued by CAL Funding III Limited, which had an outstanding principal balance as of August 31, 2020 of $712.3 million and a weighted average coupon of 4.06%. $434.6 million of the CAL Funding III Limited asset-backed notes will be repaid on September 25, 2020, with the balance being repaid on October 26, 2020.\n\n\nThe Notes were issued by CAL Funding IV Limited (the “Issuer”), a wholly owned indirect subsidiary of CAI International, Inc. The Notes will be secured by a pool of containers and related assets owned by the Issuer. The Issuer will be the sole obligor on the Notes; the Notes will not be obligations of or guaranteed by CAI International, Inc. or any of its other subsidiaries.\n\n\nAbout the Notes\n\n\nThe Series 2020-1 Class A Notes, which have been rated “A” by Standard & Poor’s, have a coupon of 2.22% per annum and an annual yield of 2.235%. The Series 2020-1 Class B Notes, which have been rated “BBB” by Standard & Poor’s, have a coupon of 3.35% per annum and an annual yield of 3.535%. The Series 2020-1 Notes have a scheduled maturity date of March 27, 2028 and a legal final maturity date of September 25, 2045. The transaction documents contain customary affirmative and negative covenants, financial covenants, representations and warranties, and events of default, which are subject to various exceptions and qualifications.\n\n\nAbout CAI International, Inc.\n\n\nCAI is one of the world’s leading transportation finance and logistics companies. As of June 30, 2020, CAI operated a worldwide fleet of approximately 1.7 million CEUs of containers, and owned a fleet of 5,276 railcars that it leases within North America. CAI operates through 22 offices located in 12 countries including the United States.\n\n\nForward-Looking Statements\n\n\nThis press release contains forward-looking statemen...