Asset Acceptance Says Largest Shareholder May Sell 11 Million Shares

Debt buyer Asset Acceptance said late Thursday that it has filed a registration notice with the Securities and Exchange Commission on behalf of its largest shareholder allowing it to sell up to 10,932,051 shares from time to time in the future when it determines that sales are in its interest.

The shareholder, AAC Quad-C Investors LLC, owns approximately 35 percent of Warren, Mich.-based Asset Acceptance Capital Corp.’s (Nasdaq: AACC) outstanding shares.

Asset Acceptance said that AAC Quad-C will be allowed to sell its shares “from time to time in the market or in private transactions at prevailing market prices or negotiated prices without an underwriter and without any special marketing efforts.” Asset Acceptance will not receive any of the proceeds from these sales.

The company noted in its SEC filing that Quad-C may not sell any of the shares covered in the filing, or it may sell all 10,932,051. “Because [AAC Quad-C] may offer all or some of the shares pursuant to this offering, and because there are currently no agreements, arrangements or understandings with respect to the sale of any of the shares, we cannot estimate the number of the shares that will be held by [AAC Quad-C] after completion of the offering,” Asset Acceptance said in the filing.

AAC Quad-C is controlled by Anthony R. Ignaczak and Terrence D. Daniels, both directors with Asset Acceptance. The company said that both men will remain on the board of directors.