Debt buyer Encore Capital Group Inc. has set June 13 as the closing date for the $200 million merger with Asset Acceptance Capital Corp. (AACC).
AACC shareholders, under terms of the deal, were offered the option of taking cash or the equivalent amount of stock in Encore as compensation. The deadline to choose a preferred option is 5 p.m. Friday, four business days before the effective time of the merger.
In early March, when the proposed merger was announced, Encore's then-President and CEO Brandon Black, said, Our industry is highly fragmented, and we have long been anticipating consolidation as the regulatory and business climate grows more complex. This transaction clearly signals that Encore will play a key role in driving this phase in our industrys development.
"This acquisition moves our industry into a new phase of maturity defined by more efficient companies that are committed to operating ethically and treating consumers with respect. Encores strong operating and cost advantages will allow Asset Acceptances investments to be significantly more profitable and will deliver greater value to shareholders," he said.
In late May, Encore announced its first international acquisition, agreeing to purchase a controlling interest in Cabot Credit Management, a United Kingdom and Ireland-based debt purchaser.
Encore on Tuesday announced it will be added to the Barrons 400 index for the fourth time since the indexs inception in 1997.