Fair Isaac Corp. closed a private offering of $350 million of its 4.00% senior notes due June 15, 2028.
The company plans to use the net proceeds from the offering to repay certain debt outstanding under its existing unsecured revolving credit facility and for general corporate purposes.
Fair Isaac will pay interest on the notes semiannually on June 15 and Dec. 15, starting June 15, 2020.
The company may redeem some or all of the notes at any time prior to Dec. 15, 2022, at a price equal to 100% of the principal amount of the notes to be redeemed, plus a make-whole premium and accrued and unpaid interest on the notes to the redemption date.
Prior to Dec. 15, 2022, Fair Isaac may also redeem up to 35% of the notes using the net proceeds from certain equity offerings. The redemption price will be 104% of the principal amount of the notes to be redeemed, plus accrued and unpaid interest on the notes to the redemption date. Thereafter, the company may redeem the notes in whole or in part at a redemption price equal to the percentage of the principal amount as set forth in the indenture dated Dec. 6 between Fair Isaac and U.S. Bank NA, as trustee.
The notes are the senior unsecured obligations of the company. As of Dec. 6, none of Fair Isaac's subsidiaries will be guarantors and the notes will not be guaranteed. The notes will be guaranteed, jointly and severally, on a senior unsecured basis by each of the company's future significant domestic subsidiaries.