PRA Group Inc. Files 8-K on Material Definitive Agreement

TL;DR

PRA Group just signed a big deal, filing an 8-K on 10/28.

AI Summary

On October 28, 2024, PRA Group, Inc. entered into a material definitive agreement related to a direct financial obligation. The company, incorporated in Delaware, filed an 8-K report detailing this event. The filing was made on November 1, 2024.

Why It Matters

This filing indicates a significant financial commitment or obligation for PRA Group, Inc., which could impact its financial standing and future operations.

Risk Assessment

Risk Level: medium — Material definitive agreements and new financial obligations can introduce financial risks and uncertainties for a company.

Key Numbers

• 000-50058 — SEC File Number (Identifies the company's filing with the SEC.)
• 75-3078675 — IRS Employer Identification No. (Company's tax identification number.)

Key Players & Entities

• PRA Group, Inc. (company) — Registrant
• October 28, 2024 (date) — Date of Earliest Event Reported
• November 1, 2024 (date) — Filing Date
• Delaware (jurisdiction) — State of Incorporation
• Norfolk, Virginia (location) — Principal Executive Offices

FAQ

Key Financial Figures

• $0.01 — ange on which registered Common Stock, $0.01 par value per share PRAA NASDAQ Global
• $40 million — and term loan commitments increased by $40 million to $1.548 billion. Aggregate revolving
• $1.548 billion — commitments increased by $40 million to $1.548 billion. Aggregate revolving commitments remain
• $1.075 b — gregate revolving commitments remain at $1.075 billion, with a potential to increase by
• $500 million — tial to increase by up to an additional $500 million. U.S. domestic revolving commitments re
• $1 billion — stic revolving commitments reduced from $1 billion to $950 million and Canadian revolving
• $950 million — commitments reduced from $1 billion to $950 million and Canadian revolving commitments incr
• $75 million — an revolving commitments increased from $75 million to $125 million. The term loan commitme
• $125 million — mmitments increased from $75 million to $125 million. The term loan commitment at closing wa
• $472.6 million — closing was increased by $40 million to $472.6 million. Financial covenants were modified as
• $800 million — volving commitments were decreased from $800 million to $725 million, with a potential to in
• $725 m — nts were decreased from $800 million to $725 million, with a potential to increase by
• $200 million — tial to increase by up to an additional $200 million. The financial covenants, negative cov

Filing Documents

• praa-20241028.htm (8-K) — 49KB
• pragroupannouncesamendment.htm (EX-99.1) — 9KB
• image_0.jpg (GRAPHIC) — 62KB
• 0001185348-24-000047.txt ( ) — 270KB
• praa-20241028.xsd (EX-101.SCH) — 2KB
• praa-20241028_lab.xml (EX-101.LAB) — 21KB
• praa-20241028_pre.xml (EX-101.PRE) — 12KB
• praa-20241028_htm.xml (XML) — 3KB

01 Entry into a Material Definitive Agreement

Item 1.01 Entry into a Material Definitive Agreement. Second A&R North American Credit Agreement On October 28, 2024, PRA Group, Inc. (the " Company "), as a borrower, PRA Group Canada Inc. (" PRA Canada "), as a Canadian borrower, and certain domestic subsidiaries of the Company, as guarantors (the " Guarantors "), entered into the Second Amended and Restated Credit Agreement (the " Second A&R North American Credit Agreement ") with Truist Bank, as the administrative agent (the " North American Agent "), the co-syndication agents, co-senior managing agents, joint lead arrangers and joint bookrunners party thereto, and the other lenders party thereto (collectively, the " North American Lenders "), which modified the Amended and Restated Credit Agreement, dated May 5, 2017 (as amended or otherwise modified prior to the Second A&R North American Credit Agreement, the " First A&R North American Credit Agreement "), among the Company, PRA Canada, the Guarantors, Bank of America, N.A., as administrative agent, and the other lenders party thereto. Capitalized terms used and not otherwise defined herein have the meanings provided in the Second A&R North American Credit Agreement. The following sets forth a description of the material modifications made to the terms of the Second A&R North American Credit Agreement: The maturity date was extended from July 30, 2026 to October 28, 2029. Aggregate revolving and term loan commitments increased by $40 million to $1.548 billion. Aggregate revolving commitments remain at $1.075 billion, with a potential to increase by up to an additional $500 million. U.S. domestic revolving commitments reduced from $1 billion to $950 million and Canadian revolving commitments increased from $75 million to $125 million. The term loan commitment at closing was increased by $40 million to $472.6 million. Financial covenants were modified as follows: Positive Income from Operations was replaced by a new Consolidated Fixed Charge Coverage Rati

03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. The information set forth under Item 1.01 of this Current Report on Form 8-K is incorporated herein by reference.

01 Regulation FD Disclosure

Item 7.01 Regulation FD Disclosure. On October 31, 2024, the Company issued a press release announcing its entry into the Second A&R North American Credit Agreement and the A&R UK Credit Agreement. A copy of the press release is attached to this Current Report on Form 8-K as Exhibit 99.1 and incorporated by reference.

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits 99.1 Press release dated October 31, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document) SIGNATURE 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: November 1, 2024 By: /s/ Rakesh Sehgal Rakesh Sehgal Executive Vice President and Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR