OneMain Financial (OMF) Announces Proposed Secondary Offering and Repurchase of Common Stock

July 29, 2021 4:12 PM EDT

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OneMain Holdings, Inc. (NYSE: OMF) (the “Company”) announced today the commencement of a proposed secondary public offering of 8,000,000 shares of the Company’s common stock (the “base offering”) by an entity managed by affiliates of Apollo Global Management, Inc. (the “selling stockholder”). The 8,000,000 shares of common stock to be sold in this offering represents approximately 6% of the Company’s outstanding common stock as of July 15, 2021. The Company is not selling any shares and will not receive any proceeds from the proposed offering.

Subject to the completion of the base offering, the Company intends to purchase 1,600,000 shares of Company common stock that are the subject of the base offering at a price per share equal to the price at which the underwriter will purchase the shares from the selling stockholder in the proposed offering (the “Concurrent Share Buyback”). The terms and conditions of the Concurrent Share Buyback were reviewed and approved by a special committee of the Company’s board of directors, comprised of independent and disinterested directors. The Concurrent Share Buyback is being made pursuant to a new authorization and does not reduce availability under the Company’s previously announced stock repurchase program, under which $120 million of authorized share repurchase capacity, excluding fees and commissions, remained available as of June 30, 2021. The Company intends to fund the Concurrent Share Buyback from existing cash on hand. The underwriter will not receive any compensation for the shares being repurchased by the Company.

The underwriter will have a 30-day option to purchase up to an additional 1,200,000 shares of common stock from the selling stockholder. As part of this offering, the selling stockholder has agreed to a 30-day lock-up of its common stock.

Barclays is acting as sole underwriter for the proposed offering. The underwriter may offer the shares from time to time to purchasers directly or through agents, or through brokers in brokerage transactions on the New York Stock Exchange, or to dealers in negotiated transactions or in a combination of such methods of sale, at a fixed price or prices, which may be changed, or at market prices prevailing at the time of sale, at prices related to such prevailing market prices or at negotiated prices.



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