Press release from PR Newswire
Encore Capital Group, Inc. Announces Exercise of Underwriter's Over-Allotment Option From Selling Stockholders' Shares
Friday, March 11, 2011
Encore Capital Group, Inc. Announces Exercise of Underwriter's Over-Allotment Option From Selling Stockholders' Shares16:05 EST Friday, March 11, 2011SAN DIEGO, March 11, 2011 /PRNewswire/ -- Encore Capital Group, Inc. (Nasdaq: ECPG) today announced that the underwriter of the previously announced public offering has exercised in full its over-allotment option to purchase an additional 368,210 shares of the Company's common stock from the selling stockholders. Together with the shares sold pursuant to the over-allotment option, JCF FPK I LP, Red Mountain Capital Partners II, L.P. and Red Mountain Capital Partners III, L.P. have sold a total of 2,822,944 shares of common stock in the underwritten public offering. The Company did not receive any proceeds from the sale of the shares by the selling stockholders.Immediately after the exercise of the over-allotment option, the selling stockholders owned, in the aggregate, 6,370,976 shares of common stock, or over 26% of the Company's outstanding shares. The selling stockholders' representatives intend to continue to serve on the board of directors of the Company. The shares were sold pursuant to a prospectus supplement and accompanying prospectus as part of an effective shelf registration statement filed by the Company with the Securities and Exchange Commission. Copies of the registration statement can be accessed through the SEC's website at www.sec.gov. A copy of the prospectus supplement and accompanying prospectus for this offering may be obtained from the offices of JMP Securities LLC, 600 Montgomery Street, 10th Floor, San Francisco, California 94111, Attention: Prospectus Department, (415) 835-3914. Any offer or sale will be made only by means of the prospectus supplement and accompanying prospectus. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. About Encore Capital Group, Inc.Encore Capital Group is a leader in consumer debt buying and recovery. We purchase portfolios of defaulted consumer receivables from major banks, credit unions, and utility providers and partner with individuals as they repay their obligations and work toward financial recovery. Headquartered in San Diego, we are a publicly traded NASDAQ Global Select company (ticker symbol: ECPG) and a component stock of both the Russell 2000 and Wilshire 4500. More information about the Company can be found at www.encorecapital.com. The Company's website, and the information contained therein, is not incorporated into and is not a part of this press release.Forward Looking StatementsThe statements in this press release that are not historical facts, including, most importantly, those statements preceded by, or that include, the words "may," "believe," "projects," "expects," "anticipates" or the negation thereof, or similar expressions, constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Reform Act"). For all "forward-looking statements," the Company claims the protection of the safe harbor for forward-looking statements contained in the Reform Act. Such forward-looking statements involve risks, uncertainties and other factors which may cause actual results, performance or achievements of the Company and its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. These risks, uncertainties and other factors are discussed in the reports filed by the Company with the Securities and Exchange Commission, including the most recent reports on Forms 10-K, 10-Q and 8-K, each as it may be amended from time to time. The Company disclaims any intent or obligation to update these forward-looking statements.Contact:Encore Capital Group, Inc.Paul Grinberg (858) email@example.comRen Zamora (858) firstname.lastname@example.orgSOURCE Encore Capital Group, Inc.For further information: Paul Grinberg, +1-858-309-6904, email@example.com, or Ren Zamora, +1-858-560-3598, firstname.lastname@example.org, both of Encore Capital Group, Inc.