New Issue: DriveTime sells $50 million add-on to 12 5/8% secured notes due 2017

By Aleesia Forni

Virginia Beach, Va., April 25 - DriveTime Automotive Group, Inc. and DT Acceptance Corp. priced a $50 million add-on to DriveTime's existing 12 5/8% notes (B3/B/) due 2017 at 111 to yield 7.671%, according to a market source.

Jefferies & Co. and Wells Fargo Securities LLC were the joint bookrunners for the Rule 144A and Regulation S with registration rights transaction.

Proceeds will be used to repay a portion of the company's outstanding warehouse facilities.

The notes will be fungible upon registration.

The original $200 million issue priced on May 27, 2010 at 98.854 to yield 12 7/8%.

DriveTime is a Phoenix-based used vehicle retailer. It focuses solely on sales and financing services to the subprime market.

Issuers:	DriveTime Automotive Group, Inc. and DT Acceptance Corp.
Amount:	$50 million add-on
Maturity:	June 15, 2017
Securities:	Senior secured notes
Joint bookrunners:	Jefferies & Co., Wells Fargo Securities LLC
Coupon:	12 5/8%
Price:	111
Yield to worst:	7.671%
Call features:	Make-whole call at Treasuries plus 50 bps prior to June 15, 2014, then callable at 106.313, 103.156 and par on or after June 15, 2016
Equity clawback:	Up to 35% at 112.625 prior to June 15, 2013
Change-of-control put:	101%
Trade date:	April 25
Settlement date:	May 2
Ratings:	Moody's: B3
	Standard & Poor's: B
Distribution:	Rule 144A, Regulation S
Total issue size:	$250 million, including $200 million priced on May 27, 2010 at 98.854 to yield 12 7/8%

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