PRA Group, Inc. PRAA announced the pricing of its public offering of senior notes. The company upsized the notes from the previously announced amount of $300 million to $350 million. Subject to certain closing conditions, the offering is expected to be complete on or about Sep 22, 2021.Inside the HeadlinesThe notes carry an interest rate of 5% and are due 2029. The same will be guaranteed on a senior unsecured basis by the company’s present and forthcoming domestic units, which are guarantors or borrowers under its North American Credit Agreement.The company intends to use the funds raised from the above-mentioned notes to pay back $345.5 million of its outstanding revolving borrowings under the aforesaid agreement.However, the prepayment will not decrease the revolving borrowing commitment and the prepaid amount can be availed of for re-borrowing, pending certain approvals.In the last several quarters, higher borrowing costs and an increased leverage shot up interest expenses. Consequently, the company’s total debt to total capital of 63.3% is higher than the industry’s figure of 41.8%. Its times interest earned stands at 2.98X, lower than the industry's average of 14.14X. Thus, its lack of financial flexibility remains a concern.However, repurchase of notes will be a relief. At the end of the second quarter of 2021, borrowings dropped 9.5% to $2.4 billion from the number at 2020 end. On the last earnings call, management said that it expanded the company’s European credit facility and even extended the maturity of both its credit capacities.Zacks Rank and Price PerformanceWith a market capitalization of $1.868 billion, shares of this currently Zacks Rank #3 (Hold) company have gained 14.8% in six months’ time, outperforming its industry’s growth of 11.1%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Image Source: Zacks Investment ResearchStocks to ConsiderSome better-ranked stocks in the same space are Credit Acceptance Corporation CACC, CIT Group Inc. CIT and HoulihanLokey, Inc. HLI, earnings of which managed to deliver a trailing four-quarter surprise of 65.4%, 224.59% and 38.33%, respectively, on average. All the companies presently hold a Zacks Rank #2 (Buy). Breakout Biotech Stocks with Triple-Digit Profit Potential The biotech sector is projected to surge beyond $2.4 trillion by 2028 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases. Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Recommendations from previous editions of this report have produced gains of +205%, +258% and +477%. The stocks in this report could perform even better.See these 7 breakthrough stocks now>>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CIT Group Inc. (CIT): Free Stock Analysis Report PRA Group, Inc. (PRAA): Free Stock Analysis Report Credit Acceptance Corporation (CACC): Free Stock Analysis Report Houlihan Lokey, Inc. (HLI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research