Sears plans to get $1 billion loan

Loan to reduce borrowings on existing credit line

HOFFMAN ESTATES, Ill. — Sears Holdings is hoping to obtain a new loan in order to reduce borrowings from an older loan agreement, the company said Monday.

Sears Holdings, the parent company of mass merchandiser Kmart, said it had issued a notice that it intended to obtain an incremental term loan of up to $1 billion.

The company said that if it went through, the loan would be issued under an existing $3.3 billion revolving facility credit line and would be used to reduce borrowings under it. The company said it hoped to secure the incremental term loan on the same collateral as the revolving facility, and that it would mature in June 2018.

 

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