San Diego-based Encore Capital Group Inc. (Nasdaq: ECPG), through its Propel Financial Services subsidiary, has announced pricing of securitized notes.
Encore Capital Group priced $134 million of Texas Tax Lien Collateralized Notes, Series 2014-1, issued in connection with the securitization of a pool of liens for ad valorem property taxes in the state of Texas.
The notes will be offered and sold in a private placement to qualified institutional buyers in the United States in accordance with Rule 144A under the Securities Act of 1933.
The notes were priced at EDSF plus 95 basis points, bringing the coupon to a fixed rate of 1.44 percent. The notes, which are payable solely from collections thereon and are non-recourse obligations, were rated AAA by Standard & Poor's and Kroll Bond Rating Agency. The transaction is expected to close on May 6.
The notes have not been and will not be registered under the Securities Act or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.