Publicly listed used car retailer America’s Car-Mart is looking to tap the private credit market to refinance some of its debt, according to 9fin sources.

The company, which trades under the ticker CRMT, is working with Jefferies on the process, in which it is seeking to raise around $400m, the sources said.

The switch to the private credit market came after a premarketed bond deal in the broadly syndicated market received lukewarm reception, the sources said. The company may still struggle to place its debt in the private market, one source noted, as lenders have to get comfortable with the company’s underlying portfolio of auto loans.