America's car-mart, inc. announces pricing of inaugural asset-backed securitization transaction and amendment to loan and security agreement

Rogers, ark., april 25, 2022 (globe newswire) -- america's car-mart, inc. (nasdaq: crmt) (the “company”) today announced that it has priced $400 million in aggregate principal amount of asset-backed notes (the “notes”), a subprime auto loan asset-backed securitization transaction. the notes will be issued in four classes, collateralized by loans directly originated by the company's operating subsidiaries, america's car mart, inc. and texas car-mart, inc. (collectively “car mart”), with expected ratings of aa- through bb- by kroll bond rating agency (“kbra”), and have a final maturity date of april 20, 2029. credit enhancement for the notes will consist of overcollateralization, a reserve account funded with an initial amount of not less than 2.00% of the pool balance as of the cut-off date, excess interest on the receivables, and, in the case of the class a notes, the class b notes and the class c notes, the subordination of certain payments to the noteholders of less senior classes of notes. additional details related to the notes are as follows:
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