CHARLOTTE, N.C., March 7, 2017 /PRNewswire/ -- Sonic Automotive,
Inc. (NYSE: SAH), one of the nation's largest automotive retailers,
today announced it intends to commence a private offering of up to
$250.0 million in aggregate principal
amount of senior subordinated notes to qualified institutional
buyers pursuant to Rule 144A under the Securities Act of 1933, as
amended (the "Securities Act"), and in offshore transactions
pursuant to Regulation S under the Securities Act. The
Company intends to use the net proceeds from this offering to
redeem all of its outstanding 7.0% Senior Subordinated Notes due
2022 (the "7.0% Notes") pursuant to the terms of the indenture
governing the 7.0% Notes, and to pay related fees and expenses, and
any remaining amount will be used for general corporate purposes,
including the acquisition and development of dealerships and
related real property, repurchases of shares of the Company's Class
A common stock and other working capital needs.
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.
This press release is being issued pursuant to Rule 135c under
the Securities Act, and is neither an offer to sell nor a
solicitation of an offer to buy the notes or any other securities
and shall not constitute an offer to sell or a solicitation of an
offer to buy, or a sale of, the notes or any other securities 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. In addition,
nothing in this press release shall be deemed to be a notice of
redemption for the 7.0% Notes.
About Sonic Automotive
Sonic Automotive, Inc., a Fortune 500 company based in
Charlotte, N.C., is one of the
nation's largest automotive retailers. Sonic can be reached on the
web at www.sonicautomotive.com.
Forward-Looking Statements
Included herein are forward-looking statements, including
statements pertaining to a private offering of securities and
redemption of all the outstanding 7.0% Notes. 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 views, including without limitation,
economic conditions in the markets in which the Company operates,
new and used vehicle industry sales volume, the success of the
Company's operational strategies, the rate and timing of overall
economic recovery or decline, and the risk factors described in the
Company's Annual Report on Form 10-K for the year ended
December 31, 2016. The Company does
not undertake any obligation to update forward-looking
information.
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SOURCE Sonic Automotive, Inc.