GM Financial Prices Private Offering of $2.5B of Senior Notes
FORT WORTH, Texas — Coming on the heels of an announcement earlier
this week about an offer of $2 billion aggregate principal amount of senior
notes in various tranches, General Motors Financial priced its private offering
of $1.0 billion of 2.75 percent Senior Notes due 2016, $750 million of 3.25
percent Senior Notes due 2018 and $750 million of 4.25 percent Senior Notes due
2023.
The company said the Notes will be offered only to qualified
institutional buyers in accordance with Rule 144A and to non-U.S. persons under
Regulation S under the Securities Act of 1933, as amended (the "Securities
Act"). The notes offering is expected to close on or about next Tuesday,
subject to customary closing conditions.
GM Financial indicated that it plans to use the net proceeds
from the offering of the notes to fund a portion of the acquisition of the
international auto finance and financial services businesses of Ally Financial,
to repay certain indebtedness to General Motors pursuant to its inter-company
loan from GM and for general working capital purposes.
"The notes have not been registered under the Securities Act
or any state securities laws, and may not be offered or sold in the United
States absent such registration or an applicable exemption from the
registration requirements of the Securities Act and applicable state securities
laws," GM Financial said.
"This press release does not and will not constitute an
offer to sell or the solicitation of any offer to buy the notes or any other
securities, nor shall there be any sale of the notes in any jurisdiction in
which such offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such jurisdiction," officials
went on to say. "This press release is being issued pursuant to Rule 135c under
the Securities Act."
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