PRA Group Inc. Enters Material Definitive Agreement
Ticker: PRAA · Form: 8-K · Filed: May 20, 2024 · CIK: 1185348
| Field | Detail |
|---|---|
| Company | Pra Group Inc (PRAA) |
| Form Type | 8-K |
| Filed Date | May 20, 2024 |
| Risk Level | medium |
| Pages | 6 |
| Reading Time | 7 min |
| Key Dollar Amounts | $0.01, $400 million, $396.0 million, $298.0 million |
| Sentiment | neutral |
Sentiment: neutral
Topics: material-definitive-agreement, financial-obligation
TL;DR
PRA Group just signed a big deal, new financial obligation incoming.
AI Summary
On May 20, 2024, PRA Group, Inc. entered into a material definitive agreement related to a direct financial obligation. The company, incorporated in Delaware with its principal executive offices in Norfolk, Virginia, filed this 8-K report to disclose this significant financial event.
Why It Matters
This filing indicates a new financial commitment or obligation for PRA Group, which could impact its financial structure and future operations.
Risk Assessment
Risk Level: medium — Entering into material definitive agreements and new financial obligations can introduce financial risks and alter a company's risk profile.
Key Players & Entities
- PRA Group, Inc. (company) — Registrant
- May 20, 2024 (date) — Date of Report
- Delaware (jurisdiction) — State of Incorporation
- Norfolk, Virginia (location) — Principal Executive Offices
FAQ
What type of material definitive agreement did PRA Group, Inc. enter into?
The filing indicates the entry into a material definitive agreement that creates a direct financial obligation or an obligation under an off-balance sheet arrangement for the registrant, but the specific details of the agreement are not provided in this excerpt.
When was this material definitive agreement reported?
The report date, and the date of the earliest event reported, is May 20, 2024.
What is the principal business address of PRA Group, Inc.?
The principal executive offices are located at 120 Corporate Boulevard, Norfolk, Virginia 23502.
Under which section of the Securities Exchange Act of 1934 is this report filed?
This Current Report is filed pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.
What is the SIC code for PRA Group, Inc.?
The Standard Industrial Classification code for PRA Group, Inc. is 6153, which corresponds to Short-Term Business Credit Institutions.
Filing Stats: 1,786 words · 7 min read · ~6 pages · Grade level 14.8 · Accepted 2024-05-20 16:18:56
Key Financial Figures
- $0.01 — ange on which registered Common Stock, $0.01 par value per share PRAA NASDAQ Glo
- $400 million — ed its previously announced offering of $400 million aggregate principal amount of 8.875% Se
- $396.0 million — om this offering to repay approximately $396.0 million aggregate principal amount of outstandi
- $298.0 million — ditions). The Company intends to borrow $298.0 million under its North American Revolver on or
Filing Documents
- d841755d8k.htm (8-K) — 38KB
- d841755dex41.htm (EX-4.1) — 610KB
- 0001193125-24-142861.txt ( ) — 911KB
- praa-20240520.xsd (EX-101.SCH) — 3KB
- praa-20240520_lab.xml (EX-101.LAB) — 17KB
- praa-20240520_pre.xml (EX-101.PRE) — 11KB
- d841755d8k_htm.xml (XML) — 3KB
Use of Proceeds
Use of Proceeds The Company intends to use the net proceeds from this offering to repay approximately $396.0 million aggregate principal amount of outstanding borrowings under its North American revolving credit facility (the "North American Revolver") of its North American Credit Agreement. Such prepayment will not reduce the revolving borrowing commitment amount, and the prepaid amount will be available for re-borrowing subject to customary conditions). The Company intends to borrow $298.0 million under its North American Revolver on or about September 1, 2024 to redeem its 7.375% Senior Notes due 2025 (the "2025 senior notes") and to pay accrued and unpaid interest thereon, if any. Certain Relationships Some of the initial purchasers, the Trustee and/or their respective affiliates have provided and may, from time to time, continue to provide certain commercial banking, financial advisory, investment banking and other services to the Company, for which they have received and may continue to receive customary fees and reimbursements of expenses. Certain of the initial purchasers and/or certain of their affiliates are lenders under the North American Revolver or holders of the 2025 senior notes and, therefore, may receive a portion of the proceeds from this offering. An affiliate of Regions Securities LLC, an initial purchaser, serves as trustee under the indentures governing the Company's existing notes and will serve as trustee under the notes and will receive customary fees in connection therewith. The foregoing description of the Indenture is qualified in its entirety by reference to the Indenture, which is filed as Exhibit 4.1 to this Current Report on Form 8-K and is incorporated herein by reference. This Current Report on Form 8-K does not constitute a notice of redemption of the 2025 senior notes or satisfaction and discharge of the related indenture or an obligation to issue a notice of redemption. Any such notice will be given in accordance with
Financial Statements and Exhibits
Financial Statements and Exhibits. (d) Exhibits 4.1 Indenture (including form of note), dated as of May 20, 2024, among PRA Group, Inc., the domestic subsidiaries of PRA Group, Inc. party thereto and Regions Bank, as trustee 104 Cover Page Interactive Data File (embedded within the Inline XBRL document) 3
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. PRA GROUP, INC. Date: May 20, 2024 By: /s/ Rakesh Sehgal Rakesh Sehgal Executive Vice President and Chief Financial Officer