AMERCO (NASDAQ:UHAL) Files An 8-K Other EventsItem 8.01Other Events
Fixed Rate Secured Notes Series UIC-5H
On August 28, 2018, the Company and the Trustee entered the Thirty-Third Supplemental Indenture to the Base Indenture (the “Fixed Rate Secured Notes Series UIC-5H Thirty-Third Supplemental Indenture”) and a Pledge and Security Agreement (the “Fixed Rate Secured Notes Series UIC-5H Security Agreement”). In connection with the foregoing, the Company has offered up to $4,524,800 in aggregate principal amount of UIC-5H Secured Notes (the “Series UIC-5H Notes”) in a public offering. Investors in the Series UIC-5H Notes must first join the U-Haul Investors Club. The Company intends to use the proceeds to reimburse its subsidiaries and affiliates for the cost of acquisition and development of the collateral pledged in such offering (the “Collateral”) and for general corporate purposes.
The Series UIC-5H Notes bear interest at rates between 3.72% and 4.77% per year and mature between four and seven years from issue date and are fully amortizing over their respective terms. Principal and interest on the Notes will be credited to each holder’s U-Haul Investors Club account on a quarterly basis in arrears throughout the term. The Fixed Rate Secured Notes Series UIC-5H Thirty-Third Supplemental Indenture and the Fixed Rate Secured Notes Series UIC-5H Security Agreement contain covenants requiring the maintenance of a first-priority lien on the Collateral, and a prohibition on additional liens on the Collateral, in each case subject to certain permitted liens. The Notes are not guaranteed by any subsidiary of the Company, and therefore are effectively subordinated to all of the existing and future claims of creditors of each of the Company’s subsidiaries.
The Series UIC-5H Notes will be offered and sold to the Company’s shelf registration statement on Form S-3 (Registration No. 333-215546) under the Securities Act of 1933, as amended. The Company has filed with the Securities and Exchange Commission a prospectus supplement, dated August 28, 2018, together with the accompanying prospectus, dated January 13, 2017, relating to the offering and sale of the Series UIC-5H Notes.
For a complete description of the terms and conditions of the Fixed Rate Secured Notes Series UIC-5H Thirty-Third Supplemental Indenture and the Fixed Rate Secured Notes Series UIC-5H Security Agreement, please refer to the Fixed Rate Secured Notes Series UIC-5H Thirty-Third Supplemental Indenture and the Fixed Rate Secured Notes Series UIC-5H Security Agreement, each of which is incorporated herein by reference and attached to this Current Report on Form 8-K as Exhibit 4.1.
A copy of the opinion and consent of Jennifer M. Settles, Secretary of the Company, as to the validity of the Series UIC-5H Notes is incorporated by reference into the Registration Statement on Form S-3 (File No. 333-215546) and filed as Exhibit 5.1 hereto.
