Bank of America Provides $3.15 Billion Loan to Rite Aid Corporation
Choate represented Bank of America, N.A. in connection with a $3,150,000,000 senior secured loan to Rite Aid Corporation, comprised of a $2,700,000,000 asset-based revolving credit facility and a $450,000,000 first-in last-out term loan facility (collectively, the “Senior Credit Facilities”). The proceeds of the Senior Credit Facilities were used in part to refinance Rite Aid’s existing credit facility with Citicorp North America, Inc. The Senior Credit Facilities are secured by substantially all of the assets of Rite Aid’s wholly-owned subsidiary guarantors. More about this transaction can be found in Rite Aid’s press release.
Rite Aid is a national, publicly traded company that sells various consumer goods, including cosmetics, food and beverage, household and health necessities, seasonal goods, and office supplies. Each store contains a pharmacy, providing both over-the-counter and prescription medications.