RAD - Rite Aid slips amid report about bondholder group talks on debt

2023-06-26 11:33:46 ET

Rite Aid ( NYSE: RAD ) fell 6.3% amid a report that a group of secured bondholders is working with advisers ahead of possible talks with the drugstore chain to rework its debt.

Some investors are evaluating plans to provide cash to Rite Aid ( RAD ) as part of a so-called "liability management deal" to aid the drugstore chain in paying what it owes as it deals with its $2.9 billion in debt, some of which is due in 2025 and 2026, according to a Bloomberg report late Friday, which cited people familiar with the matter.

Rite Aid ( RAD ) didn't respond to Bloomberg's request for comment.

Rite Aid ( RAD ) interim CEO Elizabeth Burr said during the company's April earnings call that the drugstore chain had $1.5 billion in liquidity at the end of fiscal year '23, which the company expected was "more than enough" to get it through fiscal 2024.

Rite Aid ( RAD ) is scheduled to report Q1 results on Thursday.

More on Rite Aid

• Rite Aid Shareholders Could Face Massive Dilution Or Being Wiped Out In Ch.11
• C-Suite Transitions: Rite Aid CEO Departs Abruptly

For further details see: