General Finance Corporation Announces Partial Redemption of 8.125% Senior Notes Due 2021

Rhea-AI Summary

General Finance Corporation (NASDAQ: GFN) announced a partial redemption of its 8.125% Senior Notes due July 2021, redeeming $57.2 million of the $77.4 million outstanding principal. The redemption will occur on November 30, 2020, at a price of $25 per Note plus accrued interest. This move is part of the Company's strategy to manage its debt effectively and will be funded using cash on hand. The announcement emphasizes GFN's commitment to disciplined financial management.

Positive

• Redeeming $57.2 million of outstanding Senior Notes enhances financial stability.
• The use of cash on hand for redemption indicates strong liquidity.

Negative

• None.

PASADENA, Calif., Oct. 29, 2020 (GLOBE NEWSWIRE) -- General Finance Corporation (NASDAQ:GFN), a leading specialty rental services company offering portable storage, modular space and liquid containment solutions (the “Company”), announced today that it will partially redeem its 8.125% Senior Notes due July 2021 (NASDAQ:GFNSL) (the “Notes”). On November 30, 2020 (the “Redemption Date”) the Company will redeem $57.2 million of the $77.4 million issued and outstanding principal amount of the Notes in accordance with the optional redemption provisions in the indenture governing the Notes. The redemption price will be $25 per Note (equal to 100% of the Notes’ original principal amount), plus accrued and unpaid interest through, but excluding, the Redemption Date. The Company intends to use cash on hand to fund the redemption.

This press release does not constitute a notice of redemption. Beneficial holders of the Notes with any questions should contact the brokerage firm or financial institution through which they hold the Notes.

The Notes selected for redemption should be presented and surrendered by mail to the office of the paying agent, Wells Fargo Bank, N.A., MAC N9300-070, 600 South Fourth Street, Minneapolis, MN 55402, Attention: Corporate Trust Operations, Phone Inquiries: (800) 344-5128.

About General Finance Corporation

Headquartered in Pasadena, California, General Finance Corporation (NASDAQ: GFN, www.generalfinance.com) is a leading specialty rental services company offering portable storage, modular space and liquid containment solutions. Management’s expertise in these sectors drives disciplined growth strategies, operational guidance, effective capital allocation and capital markets support for the Company’s subsidiaries. The Company’s Asia-Pacific leasing operations in Australia and New Zealand consist of wholly-owned Royal Wolf (www.royalwolf.com.au), the leading provider of portable storage solutions in those regions. The Company’s North America leasing operations consist of wholly-owned subsidiaries Pac-Van, Inc. (www.pacvan.com) and Lone Star Tank Rental Inc. (www.lonestartank.com), providers of portable storage, office and liquid storage tank containers, mobile offices and modular buildings. The Company also owns Southern Frac, LLC (www.southernfrac.com), a manufacturer of portable liquid storage tank containers and, under the trade name Southern Fabrication Specialties (www.southernfabricationspecialties.com), other steel-related products in North America.

Investor Contact

Larry Clark
Financial Profiles, Inc.
lclark@finprofiles.com
310-622-8223

FAQ

What is General Finance Corporation (GFN) redeeming?

GFN is redeeming $57.2 million of its 8.125% Senior Notes due July 2021.

When will the redemption of GFN's Senior Notes take place?

The redemption will occur on November 30, 2020.

What is the price for the redeemed notes from GFN?

The redemption price will be $25 per Note, plus accrued interest.

How is GFN funding the redemption of its Senior Notes?

GFN will use cash on hand to fund the redemption.