GE Capital Offers $550M Loan To Borders

GE Capital will provide a senior credit facility worth $550 million to U.S. book retailer, Borders Group.

GE Capital will provide a senior credit facility worth $550 million to U.S. book retailer, Borders Group. The new loan, which will mature in 2014, will replace the company’s existing revolving senior credit and term loan facilities.The commitment is subject to conditions, including securing $175 million from other lenders and $125 million in junior debt provided by vendors and lenders. Borders will use the proceeds from the loan to restructure its business model by focusing on core business areas to improve profitability and cash flow.

Click here for the release from PR Newswire.