A&P refinances credit facilities, looks to 'accelerate growth strategies'

MONTVALE, N.J. — A&P has completed the refinancing of its existing senior debt, which it says will enable the company to further invest in the business and ramp up growth strategies.



A&P has partnered with Wells Fargo Capital Finance to arrange the new $300 million senior secured ABL facility and $270 million senior secured term loan through an amendment and restatement of its existing credit agreements.



According to A&P, its enhanced capital structure is the latest indication of the company’s improved business fundamentals, and follows the upgraded ratings outlooks issued by each of Moody’s and Standard & Poor’s earlier this year. The new covenant-free debt arrangement provides for a significant reduction in interest expense and enhanced liquidity.



“We are extremely pleased to have completed the refinancing of our credit facilities on attractive terms that reduce our borrowing costs and provide greater operational and financial flexibility. Our new senior debt puts the company in a much stronger financial position and allows us to focus on investing in our business by supporting and accelerating our growth strategies,” stated Paul Hertz, president and CEO.