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.
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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