Under terms of the agreement, an SPV majority owned by B. Riley has purchased $198 million of Badcock’s performing receivables for an aggregate purchase price of about $168 million.
B. Riley previously acquired $535 million of performing Badcock receivables for approximately $400 million in connection with FRG’s acquisition of Badcock in December 2021.
The SPV has the option to purchase up to an additional $75 million of receivables over the six months post-closing.
The transaction was financed using a $148 million senior secured term loan credit facility from Pathlight Capital LP.
Badcock will continue to service and administer the purchased receivables.
Price Action: RILY shares are trading higher by 0.65% at $41.76 on the last check Tuesday.
