Academy Sports + Outdoors Announces Closing of Senior Secured Notes

Academy Sports + Outdoors (Nasdaq: ASO) closed a private placement of $500 million in aggregate principal amount of 5.875% Senior Secured Notes due 2031.

Rhea-AI Summary

Academy Sports + Outdoors (Nasdaq: ASO) closed a private placement of $500 million in aggregate principal amount of 5.875% Senior Secured Notes due 2031.

According to Academy, net proceeds were used to redeem senior secured notes due 2027, repay its term loan facility, cover fees, and for general corporate purposes.

Positive

• $500 million 5.875% senior secured notes due 2031 successfully issued
• Proceeds used to redeem all outstanding senior secured notes due 2027
• Repayment of all outstanding amounts under the term loan facility
• Debt transactions funded without mentioning any equity dilution

Negative

• New $500 million senior secured notes create long-term fixed interest obligations
• Interest rate of 5.875% locked in until notes mature in 2031

Argus May 15 session

-1.02% close to close Open Argus

Details

News Market Reaction – ASO

On May 15, the first trading day after this news, ASO closed 1.02% below the previous close.

Data tracked by StockTitan Argus for the May 15 session.

Market Context

This announcement confirms closing of Academy’s previously priced $500 million 5.875% senior secured...

Analysis

This announcement confirms closing of Academy’s previously priced $500 million 5.875% senior secured notes due 2031, with proceeds used to redeem 2027 notes, repay the term loan facility, and cover related costs. It follows earlier disclosures outlining the same refinancing plan. In context of recent growth-focused communications and Analyst Day targets, investors may watch how this debt structure affects flexibility, future capital allocation, and execution on long-range sales and margin goals.

Key Figures

Notes principal: $500 million Coupon rate: 5.875% Maturity year: 2031 +1 more

Notes principal

$500 million

Aggregate principal of senior secured notes due 2031

Coupon rate

5.875%

Interest rate on senior secured notes due 2031

Maturity year

2031

Maturity for new senior secured notes

Redeemed notes maturity

2027

Outstanding senior secured notes redeemed with proceeds

Historical Context

5 past events · Latest: May 04

5 events

1. May 04

   Debt refinancing

   24h Move

   +0.5%

   Pricing of $500M 5.875% senior secured notes due 2031.

2. May 04

   Debt offering

   24h Move

   -3.8%

   Announcement of intention to offer $500M senior secured notes.

3. Apr 07

   Analyst Day

   24h Move

   -3.2%

   Long-term strategy and growth initiatives presented to analysts.

4. Apr 07

   Sales update

   24h Move

   -3.2%

   Preliminary Q1 2026 sales and comps expected to grow.

5. Apr 02

   Investor conference

   24h Move

   -0.6%

   Participation in J.P. Morgan retail conference and webcast plans.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

rule 144a, regulation s, senior secured notes, term loan facility

4 terms

rule 144a regulatory

"closed its private placement under Rule 144A and Regulation S under the Securities Act"

Rule 144A is a regulation that makes it easier for companies to sell private bonds to large investors without going through all the usual rules that apply to public sales. It matters because it helps companies raise money more quickly and privately, often attracting big investors looking for special deals.

regulation s regulatory

"private placement under Rule 144A and Regulation S under the Securities Act"

Regulation S is a set of rules that allows companies to sell securities (like shares or bonds) to investors outside the United States without having to follow all U.S. securities laws. It matters because it makes it easier for companies to raise money from international investors while still complying with U.S. regulations.

senior secured notes financial

"amount of 5.875% Senior Secured Notes due 2031 (the "Notes")"

Senior secured notes are loans a company sells to investors that are backed by specific assets and given first priority for repayment if the company defaults. Because they have a claim on collateral and are paid before other debts, they usually offer lower risk and correspondingly lower interest than unsecured debt; investors use them to judge how safe repayment and recovery of principal might be, like holding a mortgage instead of an unsecured credit card balance.

term loan facility financial

"repay all outstanding amounts owing under its term loan facility, pay related fees"

A term loan facility is a type of loan provided by a lender that is repaid over a set period of time, usually with fixed payments. It functions like a large, upfront loan that a borrower agrees to pay back gradually, often used to fund major investments or projects. For investors, understanding a company's use of such loans helps assess its financial stability and risk level.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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KATY, Texas, May 14, 2026 /PRNewswire/ -- Academy Sports and Outdoors, Inc. ("Academy") (Nasdaq: ASO) today announced that its wholly-owned subsidiary, Academy, Ltd. (the "Issuer"), closed its private placement under Rule 144A and Regulation S under the Securities Act of 1933, as amended, of $500 million in aggregate principal amount of 5.875% Senior Secured Notes due 2031 (the "Notes").

As previously announced, the Issuer used the net proceeds from the Notes to fund the redemption of all of its outstanding senior secured notes due 2027, repay all outstanding amounts owing under its term loan facility, pay related fees and expenses, and for general corporate purposes.

About Academy Sports + Outdoors
Academy is a leading full-line sporting goods and outdoor recreation retailer in the United States. Originally founded in 1938 as a family business in Texas, Academy has grown to more than 300 stores across 21 states and counting. Academy's mission is to provide "Fun for All" and Academy fulfills this mission with a localized merchandising strategy and value proposition that strongly connects with a broad range of consumers. Academy's product assortment focuses on key categories of outdoor, apparel, sports & recreation and footwear through both leading national brands and a portfolio of private label brands. For more information, visit www.academy.com.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The statements discussed in this press release that are not purely historical data are forward-looking statements. These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effect on Academy. The forward-looking statements are subject to various risks, uncertainties, assumptions or changes in circumstances that are difficult to predict or quantify. Actual results may differ materially from these expectations due to factors that are set forth in Academy's filings with the U.S. Securities and Exchange Commission. Any forward-looking statement in this press release speaks only as of the date of this release. Academy undertakes no obligation to publicly update or review any forward-looking statement, except as may be required by any applicable securities laws.

Media inquiries:
Meredith Klein, Vice President of Communications
346.826.6615
meredith.klein@academy.com

Investor inquiries:
Dan Aldridge, Vice President of Investor Relations
832.739.4102
dan.aldridge@academy.com

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SOURCE Academy Sports + Outdoors

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did Academy Sports + Outdoors (NASDAQ: ASO) announce on May 14, 2026?

Academy Sports + Outdoors announced the closing of a private placement of $500 million 5.875% senior secured notes due 2031. According to Academy, the transaction was completed under Rule 144A and Regulation S of the Securities Act in a privately offered debt deal.

What are the key terms of Academy Sports 5.875% senior secured notes due 2031 (ASO)?

The notes have an aggregate principal amount of $500 million and carry a 5.875% coupon, maturing in 2031. According to Academy, they are senior secured obligations issued in a private placement under Rule 144A and Regulation S of the Securities Act of 1933.

How will Academy Sports (ASO) use the $500 million senior secured notes proceeds?

Academy used the net proceeds to redeem all outstanding senior secured notes due 2027 and repay its term loan facility. According to Academy, remaining funds covered related fees and expenses and supported general corporate purposes within its capital structure.

What does the redemption of Academy Sports 2027 senior secured notes mean for ASO investors?

The company used proceeds from new 2031 notes to redeem all outstanding senior secured notes due 2027. According to Academy, this shifts its secured debt maturity profile, replacing the earlier 2027 notes with longer-dated 2031 obligations within its financing structure.

How does repaying the term loan facility affect Academy Sports (NASDAQ: ASO) debt structure?

Academy applied part of the $500 million notes proceeds to repay all outstanding amounts under its term loan facility. According to Academy, this consolidates secured borrowings into the new 5.875% senior secured notes due 2031, simplifying its secured debt profile.