On December 10, 2023, PREIT (OTCQB: PRET) announced it took a key step in executing the recapitalization of its business, significantly reducing debt and setting a path forward. The Company has filed a voluntary petition known as a “prepackaged” reorganization under Chapter 11 of the United States Bankruptcy Code.

The plan will allow the Company to reduce debt by approximately $880 million and strengthen its balance sheet, in order to compete effectively, meet obligations, and continue providing tenants, customers, and communities with the safe, high-quality shopping experience they expect at each property.

During this process, PREIT will continue all business operations without interruption while it obtains necessary approvals of its financial restructuring plan. In advance of the filing, the Company executed a Restructuring Support Agreement (“RSA”) with 100% of its First and Second Lien Lenders. In accordance with the RSA, PREIT expects it will be able to emerge from Bankruptcy by early February 2024.

Additional information, including court documents and information about the court-supervised process, is available on PREIT’s restructuring website through PREIT’s claims agent, Kroll, here

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