Dallas-based BFS intends to use the net proceeds from the offering to repay a portion of the funds drawn under its existing term loan credit facility and pay related transaction fees and expenses. The dealer said the offering is subject to market and other conditions, and “there can be no assurance” that BFS will successfully complete the transaction.
In March, BFS terminated an offer to exchange up to $400 million aggregate principal amount of its 5.635% senior secured notes due 2024 for new 6.625% senior secured notes due 2027. At the time, BFS said it pulled out on the exchange because it had not met the minimum issuance condition of $200 million aggregate principal amount on the new notes.
BFS operates in 39 states with approximately 400 locations, serving 75 of the top 100 metropolitan statistical areas. The dealer posted a net income of $35.7 million in the first quarter of 2019 and ranked second on the recently released 2019 ProSales 100 list.