PRA Group: sells $400,000,000 of 8.500% senior notes due 2033

What happened

• PRA Group, Inc. filed an 8-K reporting that on Oct 2, 2026 it completed its previously announced offering of $400,000,000 aggregate principal amount of 8.500% Senior Notes due 2033 in a private transaction exempt from registration. The Notes were issued under an Indenture dated Oct 2, 2026 among the Company, the Guarantors and Regions Bank, as trustee. Interest accrues at 8.500% per year, payable semiannually on Apr 15 and Oct 15, commencing Apr 15, 2027, and the Notes mature on Oct 15, 2033.

Key details

• Notes: $400,000,000 aggregate principal, 8.500% interest, payments Apr 15 and Oct 15, first payment Apr 15, 2027, maturity Oct 15, 2033.
• Guarantees and indenture: guaranteed on a senior unsecured basis by existing and future domestic restricted subsidiaries that guarantee the Company’s North American Credit Agreement; issued under an Indenture with Regions Bank as trustee.
• Redemption and repurchase: redeemable before Oct 15, 2029 at 100% plus a make-whole premium; redeemable on or after Oct 15, 2029 at specified prices; change of control repurchase at 101%; certain asset-sale proceeds may require repurchase at 100%.
• Use of proceeds: Company intends to use net proceeds and available cash to repay approximately $400,000,000 of outstanding borrowings under its North American revolver; the prepayment will not reduce the revolver commitment and the prepaid amount will be available for re-borrowing. Certain initial purchasers or their affiliates are lenders under the revolver and may receive a portion of the proceeds.

Why it may matter

• This Form 8-K reports Item 1.01 (entry into a material definitive agreement) and Item 2.03 (creation of a direct financial obligation).
• This filing does not show why the insider traded or why the company acted.