Reported Earlier, Credit Acceptance Prices $600M 9.250% Senior Notes Due 2028
Portfolio Pulse from Benzinga Newsdesk
Credit Acceptance has upsized its senior notes offering from the previously announced $500 million to $600 million, with a 9.250% interest rate, due in 2028. The sale is expected to close around December 19, 2023.
December 06, 2023 | 6:47 am
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Credit Acceptance has increased its senior notes offering to $600 million, which may indicate strong investor demand or a need for more capital. The high interest rate of 9.250% reflects current market conditions.
The upsizing of the offering could be seen as a positive sign of investor confidence or a negative sign of the company's increased debt burden. The high-interest rate may suggest a higher risk profile or a response to higher market rates. The short-term impact on the stock is uncertain, as the market could interpret this news in different ways.
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IMPORTANCE 75
RELEVANCE 100