#USA #Sabre Corporation #Southlake #secured notes #Financial Offerings

Sabre Corporation Offers Senior Secured Notes

In a recent announcement, Sabre Corporation, a prominent player in the travel technology sector, has declared an exciting financial move. The company, trading on Nasdaq as SABR, unveiled that its wholly-owned subsidiary, Sabre GLBL Inc., is initiating an offering of $975 million in aggregate principal amount of senior secured notes, known as the "Secured Notes." This strategic decision is part of Sabre's ongoing efforts to optimize its financial framework and enhance its operational capabilities.

The offering's exact timing, size, and terms are still pending and will be influenced by various market conditions and factors. While the company aims to complete this offering as planned, it has also advised stakeholders that there are no guarantees that the offering will go through on the initially proposed terms or at all.

What makes these Secured Notes particularly noteworthy is that they will be backed by guarantees from Sabre Holdings Corporation along with every subsidiary that engages in borrowing or guarantees tied to Sabre GLBL's senior secured credit facilities. These guarantees provide a level of security to investors, as they will be particularly focused on the company's assets.

The funds raised from selling these Secured Notes are expected to serve multiple purposes. Primarily, Sabre aims to use the proceeds to pay off outstanding amounts that it owes under an intercompany loan agreement with Sabre Financial Borrower, LLC. This payment is projected to cover the entirety of the senior secured term loan, which is due in 2028. Additionally, any surplus funds will be directed toward paying off or redeeming other financial obligations through open market transactions or negotiated deals, depending on prevailing conditions and adherence to relevant agreements.

For potential investors, it's important to note that the Secured Notes and corresponding guarantees will be offered in a private offering designed for those reasonably identified as qualified institutional buyers, in accordance with Rule 144A of the Securities Act of 1933. Furthermore, the offerings will also reach international investors outside the United States, abiding by Regulation S under the same act. This private placement means that the Secured Notes will not be registered under the Securities Act or any state securities law, which impacts their sale conditions.

In an effort to ensure compliance and to mitigate any regulatory risks, the announcements clarify that these Secured Notes cannot be sold in the United States without registration or an applicable exemption from the registration requirements. Additionally, this announcement is not a solicitation or offer for selling these notes in any jurisdiction where such an offering would be unlawful.

About Sabre Corporation

Sabre Corporation represents a technological innovator in the travel industry, tackling complex challenges while capitalizing on significant opportunities. The company aims to create advanced travel solutions by leveraging insights, speed, and scale to meet the needs of airlines, hoteliers, travel agencies, and other significant partners across more than 160 countries worldwide. Its headquarters are located in Southlake, Texas.

Looking Ahead: Forward-Looking Statements

The press release also includes a disclaimer concerning forward-looking statements, emphasizing that the information shared should not be taken as a assurance of the future success of the offering of the Secured Notes. Readers have been cautioned against placing undue reliance on these forward-looking statements given the risks and uncertainties surrounding the company’s projections and expectations regarding financial outcomes.

In summary, Sabre Corporation's latest financial maneuver is a key step towards strengthening its economic positioning and harnessing future growth. The market will be attuned to how this offering unfolds and its potential impact on the company's trajectory in the travel tech industry.