Sonic Automotive Announces Closing of Offering of $210 Million of Senior Subordinated Notes
CHARLOTTE, N.C., March 12 /PRNewswire-FirstCall/ -- Sonic Automotive, Inc. (NYSE: SAH) today announced that it had successfully completed its previously announced private offering of $210 million in aggregate principal amount of 9.0% Senior Subordinated Notes due 2018 to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933 and in offshore transactions pursuant to Regulation S under the Securities Act. The notes were issued at 99.299% of par.
The Company received approximately $203,802,900 in proceeds of the offering, after deducting applicable discounts and commissions. The Company will use these proceeds to redeem a portion of the Company's 8 5/8% Senior Subordinated Notes due 2013. This press release shall not be deemed a notice of redemption for the Company's 8 5/8% Senior Subordinated Notes due 2013.
The notes have not been registered under the Securities Act or applicable state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.
About Sonic Automotive
Sonic Automotive, Inc., a Fortune 300 company based in Charlotte, N.C., is the nation's third-largest automotive retailer, operating 145 franchises. Sonic can be reached on the web at www.sonicautomotive.com.
Included herein are forward-looking statements, including statements pertaining to the use of net proceeds from the Company's private offering. There are many factors that affect management's views about future events and trends of the Company's business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from management's view, including without limitation, economic conditions, risks associated with acquisitions and the risk factors described in the Company's annual report on Form 10-K for the year ending December 31, 2009. The Company does not undertake any obligation to update forward-looking information.
SOURCE Sonic Automotive, Inc.
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