EZCORP Announces Retirement of $103.4 Million Convertible Notes

Rhea-AI Summary

EZCORP (NASDAQ: EZPW) has successfully retired its $103.4 million 2.375% Convertible Senior Notes Due 2025. The notes, originally issued in 2018, were primarily settled through conversion into company stock, with holders converting approximately $97.0 million into roughly 6.1 million shares of EZCORP Class A Common Stock at a conversion price of $15.90 per share. The remaining balance of about $6.4 million was repaid in cash, along with $1.2 million in interest and fractional share payments.

Positive

• Successful retirement of $103.4 million in convertible notes, reducing debt obligations
• Majority of notes ($97.0 million) converted to equity, preserving cash resources
• Completion of debt obligation without requiring significant cash outlay

Negative

• Dilution of existing shareholders due to conversion of $97.0 million notes into 6.1 million new shares
• Cash payment of $7.6 million required for remaining principal, interest, and fractional shares

News Market Reaction – EZPW

-0.13%

-0.13% Session move

In the trading session that priced this news, EZPW declined 0.13%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

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AUSTIN, Texas, May 01, 2025 (GLOBE NEWSWIRE) -- EZCORP, Inc. (NASDAQ: EZPW) (the “Company”), a leading provider of pawn transactions in the United States and Latin America, announced today the retirement of its $103.4 million aggregate principal amount outstanding of 2.375% Convertible Senior Notes Due 2025 (the “2025 Notes”). The 2025 Notes were issued in 2018 with a maturity date of May 1, 2025.

In connection with the Company’s election of physical settlement made in October 2024, holders had the right to convert their 2025 Notes into 62.8931 shares of EZCORP Class A Common Stock per $1,000 principal amount (equivalent to the conversion price of $15.90 per share) through April 30, 2025. Holders converted approximately $97.0 million in principal amount of the 2025 Notes into approximately 6.1 million shares of EZCORP Class A Common Stock. The Company repaid the remaining principal balance of the notes in cash of approximately $6.4 million, together with payments of interest and cash in lieu of fractional shares of $1.2 million.

ABOUT EZCORP
Formed in 1989, EZCORP has grown into a leading provider of pawn transactions in the United States and Latin America. We also sell pre-owned and recycled merchandise, primarily collateral forfeited from pawn lending operations and merchandise purchased from customers. We are dedicated to satisfying the short-term cash needs of consumers who are both cash and credit constrained, focusing on an industry-leading customer experience. EZCORP is traded on NASDAQ under the symbol EZPW and is a member of the S&P 1000 Index and Nasdaq Composite Index.

Contact:
Email: Investor_Relations@ezcorp.com
Phone: (512) 314-2220

FAQ

What is the total value of EZPW convertible notes retired in May 2025?

EZCORP retired $103.4 million in aggregate principal amount of 2.375% Convertible Senior Notes Due 2025.

How many EZPW shares were issued for the convertible notes conversion?

Approximately 6.1 million shares of EZCORP Class A Common Stock were issued through the conversion of $97.0 million in principal amount of notes.

What was the conversion price for EZPW's 2025 convertible notes?

The conversion price was $15.90 per share, with holders receiving 62.8931 shares per $1,000 principal amount of notes.

How much cash did EZCORP pay to settle the remaining convertible notes?

EZCORP paid approximately $7.6 million in cash, including $6.4 million for the remaining principal and $1.2 million for interest and fractional shares.