Encore Capital Sets Merger Date for Asset Acceptance Deal

Debt buyer Encore Capital Group, Inc. (NASDAQ: ECPG) said Monday that it has set June 13 as the closing date for the proposed merger with rival Asset Acceptance Capital Corp. (NASDAQ: AACC).

Under the terms of the $200 million deal, Asset Acceptance shareholders were given the option of taking cash or the equivalent amount of stock in Encore as compensation.

The deadline for AACC stockholders to specify the type of consideration they wish to receive will be 5:00 p.m. New York local time on June 7, 2013 (the “Election Deadline”), which is the date that is four business days prior to the effective time of the merger.

“This acquisition moves our industry into a new phase of maturity defined by more efficient companies that are committed to operating ethically and treating consumers with respect,” said Encore’s then-President and CEO Brandon Black at the time of the announcement. “Encore’s strong operating and cost advantages will allow Asset Acceptance’s investments to be significantly more profitable and will deliver greater value to shareholders.”

“We believe Encore is a strong strategic fit for Asset as the transaction will enable us to maximize the full value of both our investments and our talented workforce,” said Rion Needs, President and CEO of Asset Acceptance. “The combination of our two companies will better position us for success in a rapidly changing and competitive marketplace.”

Encore announced Tuesday that it will be added to the Barron’s 400 index for the fourth time since the index’s inception in 1997.

“Being named to the Barron’s 400 is an incredible honor that highlights Encore’s track record,” said Encore’s President and Chief Executive Officer Ken Vecchione. “We’ve become a global leader for the industry, both in our business operations and in our commitment to operating ethically and treating consumers with respect.”

Last week, Encore announced its first international acquisition with an agreement to purchase a controlling stake in United Kingdom and Ireland-based Cabot Credit Management.

Encore also said Tuesday that Vecchione will be ringing the opening bell on the NASDAQ exchange tomorrow, Wednesday June 5.