Benzinga | Oct 26, 2021 06:16AM EDT

OneMain Holdings Announced Commencement of Proposed Secondary Public Offering of 10,010,208 Shares by an Entity Managed by Affiliates of Apollo Global Management

OneMain Holdings, Inc. (NYSE:OMF) (the "Company") announced today the commencement of a proposed secondary public offering of 10,010,208 shares of the Company's common stock by an entity managed by affiliates of Apollo Global Management, Inc. (the "selling stockholder"). The 10,010,208 shares of common stock to be sold in this offering represent approximately 7.6% of the Company's outstanding common stock as of the close of business on October 15, 2021 and represent all of the shares held by the selling stockholder in the Company. The Company is not selling any shares and will not receive any proceeds from the proposed offering.

Subject to the completion of the offering, the Company intends to purchase up to approximately $100 million of shares of Company common stock that are the subject of the 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"). Such share purchases by the Company will not exceed 20% of the total shares to be sold in the proposed offering. 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 $78 million of authorized share repurchase capacity, excluding fees and commissions, remained available as of September 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.

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.