SAN JUAN, Puerto Rico--(BUSINESS WIRE)--
EVERTEC, Inc. (NYSE:EVTC) (“EVERTEC” or the “Company”) announced today
that it has elected not to proceed with the previously announced
offering by its main operating subsidiary, EVERTEC Group, LLC, of up to
$400 million aggregate principal amount of senior secured notes due 2022.
Juan José Román, Executive Vice President and Chief Financial Officer
said: "EVERTEC was seeking to opportunistically refinance our already
strong balance sheet and gain access to longer term, low fixed-rate
capital. While we met with significant investor demand, we have chosen
not to proceed with the financing given that the cost of capital
achievable was not attractive to the company.”
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any securities in any jurisdiction in
which such offer, solicitation or sale is unlawful. The senior secured
notes referenced herein have not been and will not be registered under
the Securities Act, or applicable state securities laws, and will not be
offered or sold in the United States absent registration or pursuant to
an applicable exemption from the registration requirements of the
Securities Act and applicable state securities laws.
About EVERTEC
EVERTEC, Inc. (NYSE: EVTC) is the leading full-service transaction
processing business in Latin America, providing a broad range of
merchant acquiring, payment processing and business solutions services.
The largest merchant acquirer in the Caribbean and Central America—and
the seventh largest in Latin America—EVERTEC serves 19 countries in the
region from its base in Puerto Rico. The Company manages a system of
electronic payment networks that process more than 2.1 billion
transactions annually, and offers a comprehensive suite of services for
core bank processing, cash processing and technology outsourcing. In
addition, EVERTEC owns and operates the ATH network, one of the leading
personal identification number (“PIN”) debit networks in Latin America.
The Company serves a diversified customer base of leading financial
institutions, merchants, corporations and government agencies with
mission-critical technology solutions. For more information, visit http://www.evertecinc.com.
Forward-Looking Statements
Certain statements in this press release constitute “forward-looking
statements” within the meaning of, and subject to the protection of, the
Private Securities Litigation Reform Act of 1995. These forward-looking
statements include, but are not limited to, statements related to a
proposed offering of notes. Such forward-looking statements involve
known and unknown risks, uncertainties, and other factors that may cause
the actual results, performance or achievements of EVERTEC to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements.
Statements preceded by, followed by, or that otherwise include the words
“believes,” “expects,” “anticipates,” “intends,” “projects,”
“estimates,” and “plans” and similar expressions of future or
conditional verbs such as “will,” “should,” “would,” “may,” and “could”
are generally forward-looking in nature and not historical facts. Any
statements that refer to expectations or other characterizations of
future events, circumstances or results are forward-looking statements.
Various factors that could cause actual future results and other
future events to differ materially from those estimated by management
include, but are not limited to: the Company’s reliance on its
relationship with Popular for a significant portion of revenues; our
ability to renew our client contracts on terms favorable to us; the
effectiveness of our risk management procedures; our dependence on our
processing systems, technology infrastructure, security systems and
fraudulent-payment-detection systems, and the risk that our systems may
experience breakdowns or fail to prevent security breaches or fraudulent
transfers; our ability to develop, install and adopt new technology; a
decreased client base due to consolidations in the banking and
financial-services industry; the credit risk of our merchant clients,
for which we may also be liable; the continuing market position of the
ATH® network; the Company’s dependence on credit card associations;
regulatory limitations on our activities due to our relationship with
Popular and our role as a service provider to financial institutions;
changes in the regulatory environment and changes in international,
legal, political, administrative or economic conditions; the
geographical concentration of the Company’s business in Puerto Rico;
operating an international business in multiple regions with potential
political and economic instability; operating in countries and
counterparties that put us at risk of violating U.S. sanctions laws; our
ability to execute our expansion and acquisition strategies; our ability
to protect our intellectual property rights; our ability to recruit and
retain qualified personnel; our ability to comply with federal, state,
and local regulatory requirements; evolving industry standards; the
Company’s high level of indebtedness and restrictions contained in the
Company’s debt agreements; and the Company’s ability to generate
sufficient cash to service the Company’s indebtedness and to generate
future profits.
Consideration should be given to the areas of risk described above,
as well as those risks set forth under the headings “Forward-Looking
Statements” and “Risk Factors” in the reports the Company files with the
SEC from time to time, in connection with considering any
forward-looking statements that may be made by the Company and its
businesses generally. We undertake no obligation to release publicly any
revisions to any forward-looking statements, to report events or to
report the occurrence of unanticipated events unless we are required to
do so by law.
EVERTEC, Inc.
Investors:
Luis M. Cabrera, 787-773-5302
Senior
Vice President
Head of Investor Relations
IR@evertecinc.com
or
Media:
Wanda
Betancourt, APR, 787-773-5302
Senior Vice President
Communications
and Marketing
NewsMedia@evertecinc.com
Source: EVERTEC, Inc.