Skip to main content

Consumer Portfolio Acknowledges Receipt of Indication of Interest from Third Party

Written by Customer Service on . Posted in Public Companies.

LAS VEGAS, Nevada, Oct. 14, 2020 (GLOBE NEWSWIRE) — Consumer Portfolio Services, Inc. (Nasdaq: CPSS) (“CPS” or the “Company”) today announced that it had received on October 7, 2020 a non-binding, unsolicited indication of interest to acquire the Company from Auto Experience Inc. (“AEI”). Other than a three-page May letter from AEI delivered to the Company’s CFO, and rejected at that time, neither management nor the Board of Directors of the Company have had any discussions with AEI regarding a purchase of the Company.
Following delivery of the October 7 indication of interest, AEI issued a press release announcing its interest in acquiring the Company in what AEI described as an all-cash transaction valued at $135 million. CPS believes that the press release mischaracterizes the indicated terms set forth in AEI’s proposal, as the indication of interest includes numerous assumptions, conditions, contingencies and other terms not described in the press release.CPS said that its Board of Directors will evaluate the indication of interest carefully and in the context of all relevant factors, including an assessment of AEI’s ability to perform. The board will review the merits of the proposal consistent with its fiduciary duties and in consultation with its financial and legal advisers. The board will pursue the course of action that it determines to be in the best interests of the Company’s shareholders.CPS urges public investors to scrutinize carefully any further communications from AEI and rely only on information that is filed with the U.S. Securities and Exchange Commission.At this time, the Company does not have further comment but will make further announcements consistent with its obligations under the law.About Consumer Portfolio Services, Inc.Consumer Portfolio Services, Inc. is an independent specialty finance company that provides indirect automobile financing to individuals with past credit problems, low incomes or limited credit histories. We purchase retail installment sales contracts primarily from franchised automobile dealerships secured by late model used vehicles and, to a lesser extent, new vehicles. We fund these contract purchases on a long-term basis through the securitization markets and service the loans over their entire contract terms.Investor Relations ContactJeffrey P. Fritz, Chief Financial Officer
844-878-CPSS (844-878-2777)

Disclaimer & Cookie Notice

Welcome to GOLDEA services for Professionals

Before you continue, please confirm the following:

Professional advisers only

I am a professional adviser and would like to visit the GOLDEA CAPITAL for Professionals website.

Important Notice for Investors:

The services and products offered by Goldalea Capital Ltd. are intended exclusively for professional market participants as defined by applicable laws and regulations. This typically includes institutional investors, qualified investors, and high-net-worth individuals who have sufficient knowledge, experience, resources, and independence to assess the risks of trading on their own.

No Investment Advice:

The information, analyses, and market data provided are for general information purposes only and do not constitute individual investment advice. They should not be construed as a basis for investment decisions and do not take into account the specific investment objectives, financial situation, or individual needs of any recipient.

High Risks:

Trading in financial instruments is associated with significant risks and may result in the complete loss of the invested capital. Goldalea Capital Ltd. accepts no liability for losses incurred as a result of the use of the information provided or the execution of transactions.

Sole Responsibility:

The decision to invest or not to invest is solely the responsibility of the investor. Investors should obtain comprehensive information about the risks involved before making any investment decision and, if necessary, seek independent advice.

No Guarantees:

Goldalea Capital Ltd. makes no warranties or representations as to the accuracy, completeness, or timeliness of the information provided. Markets are subject to constant change, and past performance is not a reliable indicator of future results.

Regional Restrictions:

The services offered by Goldalea Capital Ltd. may not be available to all persons or in all countries. It is the responsibility of the investor to ensure that they are authorized to use the services offered.

Please note: This disclaimer is for general information purposes only and does not replace individual legal or tax advice.