HOUSTON -

 After boosting its global used-car retail sales by nearly 16 percent in the first quarter, Group 1 Automotive announced late last week a new stock offering.

The dealer group revealed the pricing of its private placement of $350 million of 5 percent senior unsecured notes due in 2022.

The offering size was increased to $350 million from $300 million. The offering is expected to close on June 2, subject to customary closing conditions.

“The company intends to use the net proceeds from the offering, together with the net proceeds, if any, from the termination of certain call options and warrants, to finance the purchase of its 3 percent convertible senior notes due 2020, to repay amounts outstanding under the acquisition line of its revolving credit facility, to make a contribution to its floor plan offset account and for working capital requirements and general corporate purposes,” the company explained.

The offering comes on the heels of a successful quarter for the dealer group.

Group 1 retailed 26,877 used cars throughout its U.S. and international operations during the first quarter, which marked a 15.7-percent year-over-year hike. It was pulling in gross profit per unit of $1,592 on these cars, which was 8.1 percent softer than a year ago.

In the U.S. alone, the retailer sold 22,743 used retail vehicles during the quarter, a 7.7-percent increase. Its gross profit per unit on these sales was $1,646, down 7.6 percent year-over-year.

For more on Group 1’s Q1 performance, see the below Auto Remarketing story:

Group 1 Talks Winter Impact on Used Margins