NEW YORK — Icahn Enterprises L.P. and Monro Inc. are both tapping into new financing options valued at hundreds of millions of dollars that both companies potentially could use for debt retirement, acquisition funding and other corporate purposes.
Icahn's offering — done in conjunction with sister company Icahn Enterprises Finance Corp. — covers a $750 million cache of senior notes due 2026 and paying 6.25%. This deal is an increase of $250 million over a previous offer.
Monro's deal is an amended and restated five-year credit agreement with eight banks of an existing $600 million senior secured credit facility. The new offering amends an "accordion" feature that permits Monro to request up to $250 million in additional credit, an increase of $150 million over the facility previously available.
Icahn Enterprises — a diversified holdings company active in eight business segments, including automotive through its ownership of Pep Boys, IEH Auto Parts, Precision Tune Auto Care and American Driveline Systems (AAMCO) — said proceeds from the notes offering will be used for general limited partnership purposes, including the possible repayment of existing senior unsecured notes or to fund potential acquisitions.