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Encore Capital Group Completes Offering of Senior Secured Notes
SAN DIEGO, June 01, 2021 (GLOBE NEWSWIRE) -- Encore Capital Group, Inc. (NASDAQ: ECPG), an international specialty finance company, today announced that it
About this update from Encore Capital Group Inc
[{"type":"text","content":"SAN DIEGO, June 01, 2021 (GLOBE NEWSWIRE) -- Encore Capital Group, Inc. (NASDAQ: ECPG), an international specialty finance company, today announced that it has completed its offering of £250 million aggregate principal amount of 4.25% senior secured notes due 2028. Encore used the proceeds from the offering to redeem in full the outstanding £226.2 million 7.50% senior secured notes due 2023 and to pay certain transaction fees and expenses incurred in connection with the offering of the Notes. “We successfully completed our senior secured note offering today, demonstrating yet again that our global funding structure provides us with one of the best balance sheets in the global credit management services industry,” said Jonathan Clark, Executive Vice President and Chief Financial Officer. “We believe our unified funding structure provides us with a number of key benefits including significant simplification of our balance sheet, substantially greater financial flexibility, lower funding costs and extended maturities. As a result of this structure, we were able to issue these new notes with a much lower coupon while also extending the maturity from 2023 to 2028. Furthermore, we expect the interest savings from these new notes will pay back the call premium from the redemption of our previous notes by the end of 2021.” “As a result of our bond offerings since September, we have now refinanced all of the legacy Cabot bonds totaling approximately $1.2 billion of our debt. Looking ahead, we believe we are now in a better position than ever to deploy capital in portfolio purchasing opportunities with the greatest returns,” said Clark. In the second quarter of 2021, the Company expects to record charges related to the offering totaling approximately $8 million after tax. About Encore Capital Group, Inc. Encore Capital Group is an international specialty finance company that provides debt recovery solutions and other related services across a broad range of financial assets. Through its subsidiaries around the globe, Encore purchases or services portfolios of receivables from major banks, credit unions and utility providers. Headquartered in San Diego, Encore is a publicly traded NASDAQ Global Select company (ticker symbol: ECPG) and a component stock of the Russell 2000, the S&P Small Cap 600 and the Wilshire 4500. More information about...