Tupperware Brands (NYSE:TUP) shares soared nearly 22% higher in the pre-market session today after the consumer products provider entered into a debt restructuring agreement with its lenders.
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The amendments to its credit obligations will help improve Tupperware’s overall financial health while allowing more leeway in continuing its turnaround efforts. The agreement provides for an extension of $348 million of principal and reallocated interest to Fiscal year 2027, a decrease of $55 million in amortization payments, and a reduction/reallocation of nearly $150 million of interest and fees.
Further, the company gets access to $21 million via a revolving borrowing facility. The amendment also extends the due date for Tupperware’s annual statements to November 1 from September 16.
What Is the Future of Tupperware Stock?
While Tupperware has been taking steps for a turnaround, shareholders have seen their holdings in the company evaporate by nearly 66% over the past year. That’s even after a nearly 89% surge in the company’s shares over the past five sessions.
The stock’s next trajectory will hinge on how the company’s turnaround strategies pan out.
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