Pennsylvania Real Estate Investment Trust

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Debt Financing / Related, Restructuring / Reorganization, Bankruptcy / Related

PREIT Reaches Agreement With Approximately 80% Of Its Lenders To Recapitalize Business

Published: 10/14/2020 22:19 GMT
Pennsylvania Real Estate Investment Trust (PEI) - Preit Reaches Agreement With Approximately 80% of Its Lenders to Recapitalize Business.
Preit - Infusion of $150 Million of New Capital Will Enable Continued Investment in Successful Ongoing Business Initiatives.
Preit - Portfolio Remains Fully Operational and Substantially Re-occupied.
Preit - Under Terms of Agreement, Preit Would Have Access to $150 Million in New Capital to Strengthen Business and Provide Financial Flexibility.
Preit - Banks Will Convert Company's Existing Credit Facilities Into a $150 Million First Lien Senior Secured Facility.
Preit - Will Retain 30% of Proceeds From Non-income Producing Asset Sales.
Preit - If Support of Remaining Lenders Not Secured, May Need to Complete Restructuring Through Prepackaged Reorganization Under Chapter 11.
Preit - Current Pool of Unencumbered Assets to Serve As Collateral for Facility & Co to Retain 30% of Proceeds From Non-income Producing Asset Sales.