Tyson Foods obtains $1.5 billion loan from creditors

by Talk Business & Politics staff ([email protected]) 1,467 views 

Tyson Foods has secured a $1.5 billion term loan facility with lenders lead by Morgan Stanley.

The meat giant also drew down the entire amount which will be due in two years — March 27, 2022. The loan proceeds will be used for working capital and general corporate purposes, the company noted in the filing with the Securities and Exchange Commission on Wednesday (April 1).

The filing states that repaying the new debt will be a priority, in addition to the senior notes due in August ($400 million) and $279 million of senior notes due in September.

Tyson executives have repeatedly said preserving the company’s investment grade credit rating is a top priority.

Shares of Tyson Foods (NYSE: TSN) closed Wednesday, April 1, at $55.34, down 4.37% on the day. Shares have traded between $45.57 and $92.24 over the past 52 weeks.