Euronet Completes Sale of Convertible Debentures
LEAWOOD, KANSAS-October 4, 2005-Euronet Worldwide, Inc. (Nasdaq: EEFT) announced today that it has completed the sale of $155 million aggregate principal amount of its 3.50% Convertible Debentures due 2025 to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended. The initial purchaser of the convertible debentures exercised its option to purchase an additional $20 million aggregate principal amount of the debentures, bringing the total offering to $175 million aggregate principal amount.
Euronet intends to use the net proceeds of the offering for general corporate purposes, which may include share repurchases, acquisitions of non-US entities or other strategic investments.
The debentures may be converted, under certain circumstances, into common stock of Euronet at an initial conversion rate of 24.7036 shares per $1,000 principal amount of debentures, subject to adjustment. The debentures may be redeemed by Euronet on or after October 20, 2012. Holders of the debentures may on October 15, 2012, 2015 and 2020 and upon the occurrence of certain circumstances, have the right to require Euronet to repurchase some or all of their debentures. The debentures will mature on October 15, 2025. This press release does not constitute an offer to sell or the solicitation of any offer to buy any securities. The offering will be made only to qualified institutional buyers in accordance with Rule 144A under the Securities Act of 1933. The securities to be offered have not been registered under the Securities Act, or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from registration.
About Euronet Worldwide
Euronet Worldwide is an industry leader in processing secure electronic financial transactions. The company offers outsourcing and consulting services, integrated EFT software, network gateways, electronic prepaid top-up services to financial institutions, mobile operators and retailers, as well as electronic consumer money transfer and bill payment services. Euronet operates and services the largest pan-European group of ATMs and operates the largest Indian shared ATM network. Euronet is also one of the largest providers of prepaid processing, or top-up services, for prepaid mobile airtime. The company is a licensed electronic money transmitter and bill payment company via Euronet Payments and Remittance, Inc. The company has processing centers located in the U.S., Europe and Asia, and processes electronic top-up transactions at more than 208,000 point-of-sale terminals across more than 101,000 retailers in Europe, Asia Pacific, Africa, and the U.S. With corporate headquarters in Leawood, Kansas, USA, and 23 offices worldwide, Euronet serves clients in more than 70 countries. Visit the company's web site at www.euronetworldwide.com.
This news release contains forward-looking statements within the meaning of the federal securities laws that involve risks and uncertainties. Such forward-looking statements include the expectations, plans or prospects for Euronet, including whether or not Euronet will offer the debentures or consummate the offering, the anticipated terms of the debentures and the offering and the anticipated use of proceeds of the offering. The statements made by Euronet are based upon management's current expectations and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include market conditions and other factors beyond Euronet's control and the risk factors and other cautionary statements discussed in Euronet's filings with the U.S. Securities and Exchange Commission including but not limited to Euronet's Form 10-K for the period ended December 31, 2004 and its Forms 10-Q for the periods ended March 31, 2005 and June 30, 2005. Copies of these filings may be obtained by contacting the company or the SEC. Euronet does not intend to update these forward-looking statements and undertakes no duty to any person to effect any such update under any circumstances.