Financial Advisor
CCF Holdings, LLC
Capital Solutions
Advisor to the Company on its recapitalization transaction
Transaction Details
On March 26, 2021, CCF Holdings, LLC, and its subsidiaries (collectively, “Community Choice Financial” or the “Company”) completed its Balance Sheet Recapitalization (the “Recapitalization”)
- Prior to the Recapitalization, the Company’s capital structure included the following principal balances (excludes unpaid interest and fees except on PIK Notes):
- $69.0M Secured Credit Facility (the “SPV Facility”)
- $40.0M Secured OpCo Notes (the “OpCo Facility”)
- $351.8M PIK Notes Due 2023 (the “PIK Notes”)
- Under the Recapitalization, Community Choice Financial entered into new agreements representing the issuance of a $200M asset-backed revolving credit facility, a $20M term loan, and $40.25M in perpetual cumulative convertible preferred units (with up to $15M in additional preferred unit issuances to occur during 2021). Additionally, as part of the Recapitalization, the PIK Notes were converted into Class A Common Units of the Company
- Proceeds from the Recapitalization transactions, in addition to a portion of the Company’s balance sheet cash, were used to repay in full and terminate the Company’s existing SPV Facility and OpCo Facility, and to pay transaction fees associated with the Recapitalization
About the company
CCF Holdings LLC
CCF Holdings LLC is a provider of alternative financial services to unbanked and under-banked consumers. The Company was formed in 2018 and succeeded to the business and operations of Community Choice Financial Inc. The Company-owned and operated 452 retail locations in 12 states and was licensed to deliver similar financial services over the internet in 27 states as of September 30, 2020. Through its network of retail locations and over the internet, the Company provides customers a variety of financial products and services, including secured and unsecured, short-term and medium-term consumer loans, check cashing, prepaid debit cards, and other services that address the specific needs of its individual customers.
Source: Community Choice Financial public filings
-
This material has been prepared solely for informative purposes as of its stated date and is not a solicitation, or an offer, to buy or sell any security. It does not purport to be a complete description of the securities, markets or developments referred to in the material. Information included in the material was obtained from sources which we consider reliable, but we have not independently verified such information and do not guarantee that it is accurate or complete. No subsequent publication or distribution of this material shall mean or imply that any such information or opinion remains current at any time after the stated date of the material. We do not undertake to advise you of any changes in any such information or opinion. Additional information is available upon request.
-
“Stephens” is the brand name for a family of independent privately held financial services firms, including Stephens Europe Limited, which is authorized and regulated by the Financial Conduct Authority (Registered office 12 Arthur Street, London, EC4R 9AB, Registered number 8817024) and Stephens Inc. which is regulated by the United States Securities and Exchange Commission and the Financial Industry Regulatory Authority (Home Office: 111 Center Street, Little Rock, AR USA, 501-377-2000). Stephens Inc. is a member of NYSE and SIPC. For more information, visit www.stephens.com. © 2021 Stephens