Company: ATLCL
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001437749-25-033947
Chunk: 198

Company: Atlanticus Holdings Corp
Filing Date: 2025-11-10
Form: 10-Q
Item: Item 1
Chunk 198
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 ABS secured by certain private label credit receivables (expiring  January 15, 2030). A portion of the proceeds from the sale was used to pay down other revolving facilities associated with our private label credit receivables, noted above, and the remaining proceeds were invested in the acquisition of receivables. The terms of the ABS allow for a 3-year revolving structure with an 18-month amortization period. The weighted average interest rate on the securities is fixed at 6.74%.
    
   In  August 2025, we (through a wholly owned subsidiary) sold $200.0 million of ABS secured by certain private label credit receivables (expiring  February 15, 2029). A portion of the proceeds from the sale was used to pay down other revolving facilities associated with our private label credit receivables, noted above, and the remaining proceeds were invested in the acquisition of receivables. The terms of the ABS allow for a 25-month revolving structure with an 18-month amortization period. The interest rate on the securities is fixed at 5.82%.
    
   As part of our acquisition of Mercury, we assumed outstanding notes payable which are collateralized by the associated acquired receivables. Following are descriptions of the assumed notes payable.
    
   Revolving credit facility to sell up to an aggregate (as subsequently amended) $361.9 million of notes that are secured by the receivables and other assets of the trust (of which $295.0 million was outstanding as of  September 30, 2025) that can be drawn upon to the extent of outstanding eligible receivables. The interest rate on the notes is based on the Term SOFR plus a range between 2.40% to 7.80%. The facility matures on  March 31, 2028.
    
   Revolving credit facility to sell up to an aggregate $379.1 million of notes that are secured by the receivables and other assets of the trust (of which $159.0 million was outstanding as of  September 30, 2025) that can be drawn upon to the extent of outstanding eligible receivables. Depending on the class of notes, the interest rate on the notes is based on either a commercial paper rate plus 2.25% or Term SOFR plus 8.15%. The facility matures on  July 1, 2029.

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   ABS