Rent-A-Center Enters Into Definitive Agreement to Acquire Merchants Preferred, a Nationwide Virtual Rent-to-Own Provider - Seite 2

Rent-A-Center’s Strategic Rationale and Benefits

Rent-A-Center’s acquisition of Merchants Preferred is expected to accelerate the expansion of Acceptance Now’s virtual rent-to-own offering and provide a scalable and seamless solution to capture additional share in the greater than $20 billion dollar virtual rent-to-own market. Expanding Merchants Preferred’s and Acceptance Now’s existing relationships with its retail partners will be a top priority for Rent-A-Center.

• Accelerates expansion into the virtual rent-to-own space with advanced technology and back-office infrastructure for use across Rent-A-Center platforms
• Enhances ability to expand into large, national retail and online partners
• Creates potential to expand into additional product verticals outside of home furnishings and electronics
• Provides strategic advantage of offering both staffed and virtual models
• Adds an additional 2,500 locations to the Acceptance Now platform

Benefits to Retail Partners

• Only rent-to-own company to serve both the banked and unbanked customer in partner locations, generating incremental sales for retail partners
• Provides additional options for retail partners to select from staffed, virtual, or hybrid models
• Enhances ability to integrate with retail partners’ e-commerce platforms
• Improves retail partner service through centralized support team and online portal

Mann, Armistead & Epperson, Ltd. Inc. is serving as the financial advisor and Winston & Strawn LLP is serving as the legal advisor to Rent-A-Center. Houlihan Lokey is serving as financial advisor and Sullivan & Worcester LLP is serving as legal advisor to Merchants Preferred.

The Company has provided a presentation on investor.rentacenter.com outlining the transaction.  Further details regarding the Merchants Preferred transaction and the growth opportunity of the virtual business will be discussed during the second quarter earnings call in August.

About Rent-A-Center, Inc.

A rent-to-own industry leader, Plano, Texas-based, Rent-A-Center, Inc., is focused on improving the quality of life for its customers by providing them the opportunity to obtain ownership of high-quality, durable products such as consumer electronics, appliances, computers, furniture and accessories, under flexible rental purchase agreements with no long-term obligation. The Company owns and operates approximately 2,200 stores in the United States, Mexico and Puerto Rico, and approximately 1,100 Acceptance Now kiosk locations in the United States and Puerto Rico. Rent-A-Center Franchising International, Inc., a wholly owned subsidiary of the Company, is a national franchiser of approximately 320 rent-to-own stores operating under the trade names of “Rent-A-Center,” “ColorTyme,” and “RimTyme.” For additional information about the Company, please visit its website at www.rentacenter.com.