Key Developments For Dollar Financial Corp.
Dollar Financial Corp. (DLLR.O) (Nasdaq)
Dollar Financial Corp. Announces Proposed $250 Million Private Offering Of Senior Unsecured Notes
Dollar Financial Corp. announced that it intends, to market and other conditions, to offer through its indirect wholly owned subsidiary National Money Mart Company, $250 million aggregate principal amount of senior notes in a private offering. The notes will be fully and unconditionally guaranteed, on a senior unsecured basis, by Dollar Financial Corp. and certain of its current and future direct and indirect wholly owned U.S. and Canadian subsidiaries. Dollar Financial Corp. intends to use a portion of the net proceeds of the offering to finance the previously announced acquisition by its wholly owned subsidiary, Dollar Financial Group, Inc., of Military Financial Services, LLC. The Company expects to commence and consummate the offering in December 2009. The Notes will be offered only to qualified institutional buyers.
Dollar Financial Corp. Raises FY 2010 Earnings Guidance
Dollar Financial Corp. announced that for fiscal 2010, it currently anticipates adjusted EBITDA for current business operations of between $155.0 million and $165.0 million. Fully diluted earnings per share (EPS) for fiscal 2010, excluding one-time charges and the impact of adopting FSP APB14-1, is anticipated to be between $2.10 and $2.30. Furthermore, the Company issued a news release on October 28, 2009 regarding the expected closing of the acquisition of Dealers Financial Services, LLC (DFS) later in December, and noted that the Company anticipates this acquisition would further increase expected EBITDA on an annualized basis by $20.0 million to $23.0 million. The Company would expect to adjust the Company's guidance for fiscal 2010 to reflect the inclusion of the expected contributions of DFS following the closing of the acquisition. According to Reuters Estimates, analysts were expecting the Company to report EBITDA of $144.9 million and EPS of $1.95 for fiscal 2010.
Dollar Financial Corp. Announces Agreement To Acquire Dealers' Financial Services, LLC
Dollar Financial Corp. announced that it has entered into an agreement to acquire Dealers' Financial Services, LLC, or DFS. DFS is an established business that provides services to military personnel who obtain auto loans in the United States made by a third party national bank. The acquisition, which is contingent upon obtaining financing, is anticipated to be completed in early December. The purchase price of the acquisition approximates $118.0 million.
Dollar Financial Corp. Announces Acquisition Of Merchant Cash Advance Business In United Kingdom
Dollar Financial Corp. announced the acquisition of a merchant cash advance business in the United Kingdom. The acquired company primarily provides working capital needs to small retail businesses by providing cash advances against a percentage of future credit card sales. The purchase price for the acquired company, which manages a receivable portfolio of approximately $3.0 million, was $4.9 million.
Dollar Financial Corp. Issues FY 2010 Guidance Above Analysts' Estimates
Dollar Financial Corp. announced that for fiscal 2010, it expects EBITDA of between $145.0 and $155.0 million and fully-diluted earnings per share (EPS), excluding the expected $0.40 per fully-diluted share non-cash impact from adopting FSP APB14-a, of between $1.90 and $2.10. According to Reuters Estimates, analysts are expecting the Company to report EPS of $1.81 and EBITDA of $133 million for fiscal 2009.
