Academy Sports and Outdoors Inc. (NASDAQ: ASO) announced that its subsidiary Academy, Ltd. priced $500 million in senior secured notes due 2031 at 5.875% interest. The private offering is expected to close on May 14, 2026, subject to customary closing conditions.

The company plans to use proceeds from the notes to redeem all outstanding senior secured notes due 2027, repay amounts under its term loan facility, pay related fees and expenses, and for general corporate purposes.

The notes will be guaranteed on a senior secured basis by certain Academy subsidiaries that guarantee the issuer's credit facilities. The notes and guarantees will be secured by a first-priority lien on substantially all personal property of the issuer and guarantors, and a second-priority lien on personal property securing the company's asset-based revolving credit facility.

The notes have not been registered under the Securities Act of 1933 and are being offered only to qualified institutional buyers under Rule 144A and to non-U.S. persons outside the United States under Regulation S.

Academy Sports operates more than 300 stores across 21 states as a sporting goods and outdoor recreation retailer. The company was founded in 1938 in Texas and focuses on outdoor, apparel, sports and recreation, and footwear categories through national brands and private label products.