Wednesday, September 10, 2014

Bloomberg: "RadioShack Loan Said Prepared by UBS, Standard General" $RSH

Very vague story:

"UBS AG is working with Standard General LP on loans for RadioShack Corp. (RSH), bringing another potential ally to the electronics retailer as it tries to avert bankruptcy, according to three people with knowledge of the matter.

Under the plan, the money raised would first refinance debt outstanding under a $535 million asset-backed revolving credit line from GE Capital, the lending unit of General Electric Co. (GE), said the people, who asked not to be named because the negotiations are private."


Anonymous said...

Stock taking off on the news after hours.. Bonds ticked higher on light volume as well.

Guess we need to see the details on the loan..

Anonymous said...

If there is a loan.

Of course the equity assumes that it is going to be a handout to them.


Anonymous said...

Loan was reported by debtwire so there is some validity there.

If this buys RSH some more time, tough to be short a $1 stock with nothing imminent on the horizon.

CP said...

How do we know the loan isn't part of a prepack BK?

CP said...

Troubled electronics retailer RadioShack Corp (RSH.N), whose shares swung wildly on Wednesday, is being advised by a restructuring attorney at law firm Jones Day as it tries to strike a deal with creditors to close stores while averting bankruptcy, two people close to the matter told Reuters.

The company, whose share price on Wednesday swung between 76 cents and $1.09 in a chaotic day of trading, is being advised by Jones Day's David Heiman, a retail expert who led Allied Stores and Boscov's Department Stores through bankruptcy