Spencer Platt
- Bankrupt drugstore chain Rite Aid (OTC:RADCQ) has reached preliminary agreements with its senior bondholders to transfer ownership to them.
- The Wall Street Journal also reported that Rite Aid will settle several pending lawsuits related to its alleged role at the company the prescription opioid epidemic.
- Under the deal, bondholders would exchange their claims for 90% of the shares of a reorganized company, according to the newspaper. Additionally, senior lenders would be paid in full in cash or with new loans.
- If given the green light by a bankruptcy court, the deals would reduce debt by more than $2 billion.