SC Payday Lender Sold To Mexican Company

Published February 16, 2012 1:54PM (EST)

SPARTANBURG, S.C. (AP) — A payday lending company based in South Carolina has been sold to a Mexican company.

Advance America Cash Advance Centers said Wednesday it has entered into an agreement that gives Grupo Elektra all of its outstanding shares for $10.50 apiece. The value of the transaction is about $780 million, including Advance America's outstanding debt.

Grupo Elektra is a financial services company that operates throughout Latin America. The Advance America deal is its first major investment in the U.S. financial services market.

Advance America says its headquarters will stay in Spartanburg and that senior management, including president Patrick O'Shaughnessy, will stay on in their roles.

Advance America was founded in 1997. It has about 2,600 centers in dozens of states, Canada and the United Kingdom.

By Salon Staff

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