Sonic Automotive Announces Pricing Of $200M Of Senior Subordinated Notes
Sonic Automotive, Inc. (NYSE: SAH) today announced the pricing of its private offering of $200 million in aggregate principal amount of 7.00% Senior Subordinated Notes due 2022 to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act") and in offshore transactions pursuant to Regulation S under the Securities Act. The notes were priced at 99.110% of the principal amount thereof, resulting in a yield to maturity of 7.125%.
This offering is expected to close on July 2, 2012. The net proceeds of this offering will be used to repurchase some or all of its outstanding 5.0% Convertible Senior Notes due 2029 pursuant to an offer to exchange shares of its Class A common stock plus cash, and to pay related fees and expenses, and any remaining amount will be used for general corporate purposes, including repurchases of shares of its Class A common stock.
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