CARY, N.C. -- The Pantry Inc. said that it is pursuing debt refinancing consisting of up to $480 million of senior secured credit facilities and $250 million aggregate principal amount of senior notes.
It expects the senior secured facilities to consist of a revolving credit facility of up to $225 million to replace the company's current revolving facility and a $255 million term loan.
The company intends to use the proceeds from the new term loan and senior notes, together with available cash, to repay its outstanding term loans and senior subordinated notes, the aggregate outstanding amount of which is approximately $598 million.
The Pantry said it anticipates completing these transactions during the current fiscal year, which ends on Sept. 27, 2012; however, it said there can be no assurance that such new debt financing will be consummated on this timeframe, or that debt financing will be available on terms acceptable to the company or at all. In addition, the amounts of the proposed financing, if available, could be different than those it is currently contemplating.
Based in Cary, N.C., The Pantry is a leading independently operated convenience store chain in the southeastern United States and one of the largest independently operated c-store chains in the country. It operates more than 1,600 stores in 13 states under select banners, including Kangaroo Express, its primary operating banner.
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