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Party City files for bankruptcy with plans to restructure mounting debt - TL;DR CNBC

Party City files for bankruptcy with plans to restructure mounting debt

Publishing timestamp: 2023-01-18 12:22:31


Summary

Party City has filed for Chapter 11 bankruptcy protection due to its heavy debt load, rising inflation, and consumer slowdown. The company has secured a $150 million bankruptcy loan and will seek approval to use half of those funds to immediately pay wages and vendors. The company has tapped retail consultants AlixPartners in November as its financial advisor. The company is using bankruptcy as an opportunity to restructure its debt and keep a smaller number of stores open. Shares of Party City jumped 10% premarket Wednesday.


Sentiment: NEGATIVE

Tickers: PRTY

Keywords: breaking news: businessparty city holdco inccorporate bankruptcyunited statesbusinessbusiness news

Source: https://www.cnbc.com/2023/01/18/party-city-files-for-bankruptcy-to-restructure-piling-debt.html


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