Jack in the Box Inc. (NASDAQ: JACK) entered into a purchase agreement for its subsidiary to issue $500 million of Series 2026-1 7.624% Fixed Rate Senior Secured Notes, Class A-2, according to a company statement.

The notes will pay interest quarterly with anticipated repayment dates of May 2031, unless prepaid earlier under the governing indenture terms. The transaction represents a privately placed securitization deal.

The company plans to use net proceeds to repay its existing Series 2019-1 4.476% Fixed Rate Senior Secured Notes, Class A-2-II in full and partially repay Series 2022-1 3.445% Fixed Rate Senior Secured Notes, Class A-2-I.

The Master Issuer also intends to issue $150 million of Series 2026-1 Variable Funding Senior Secured Notes, Class A-1, which will provide revolving borrowing capacity. These notes will replace the existing $150 million Series 2022-1 Variable Funding Senior Secured Notes, Class A-1.

The sale closing is expected to occur in June 2026, subject to various closing conditions. The company noted that completion timing and the transaction itself remain uncertain.

Jack in the Box operates and franchises 2,128 restaurants across 24 states, Guam and Mexico. The notes have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States without registration or applicable exemption.