#United States #Senior Notes #Norfolk #Debt Refinancing #PRAA

PRA Group Pricing Announcement

On September 29, 2026, PRA Group, Inc. (Nasdaq: PRAA), a global leader in the acquisition and collection of nonperforming loans, revealed the details of its latest financial maneuver. The company announced the pricing of a substantial offering totaling $400.0 million in senior notes, which carry an interest rate of 8.500% and are due in 2033. This move is part of PRA Group’s strategic financial management to optimize its capital structure and manage outstanding debt effectively.

Details of the Offering

The senior notes are being offered in a private transaction exempt from the registration requirements of the Securities Act of 1933. This means that they will not be publicly traded and will be available only to qualified institutional buyers under Rule 144A of the Securities Act. Additionally, certain offers will also extend to investors outside the United States, compliant with Regulation S of the same Act.

The closure of this offering is anticipated around October 2, 2026, subject to satisfying standard closing conditions. The significant aspect of these notes is that they will be guaranteed on an unsecured senior basis by existing and future domestic subsidiaries of the company involved in its North American Credit Agreement.

Purpose of the Proceeds

PRA Group has indicated that the net proceeds from this senior notes offering, in conjunction with available cash, will be utilized to repay approximately $400.0 million of its existing borrowings under its North American revolving credit facility. This strategic decision is expected to enhance the company's financial position by reducing its debt obligations and improving cash flow moving forward.

About PRA Group

PRA Group, Inc. is a well-established firm with a rich history that spans over 30 years in the debt collection industry. The company specializes in purchasing portfolios of nonperforming loans from banks and other creditors, aiming to assist customers in resolving their outstanding debts through effective negotiation and collection processes. Headquartered in Norfolk, Virginia, PRA Group operates extensively across the United States, Europe, and various other markets worldwide, underscoring its global reach in financial services.

Forward-Looking Statements

Investors and stakeholders are cautioned that statements made concerning PRA Group’s expectations and strategies may contain forward-looking statements as defined under relevant securities laws. Such statements inherently bear risks and uncertainties, which could lead to outcomes materially different from anticipated results. Key factors include economic conditions, operational performance, and other risks outlined in the company's filings with the Securities and Exchange Commission (SEC).

PRA Group consistently emphasizes the importance of disseminating accurate financial information without making any guarantees regarding future performance. Prospective investors are encouraged to evaluate these risks when considering investment opportunities with PRA Group.

For more information, investors can reach out to Najim Mostamand, Vice President of Investor Relations, via the company’s contact channels.

Conclusion

PRA Group's recent funding trajectory reflects its proactive approach to debt management and institution strengthening. As it prepares to close this offering, market observers keenly watch for developments that will influence its future operational capabilities and financial health.