American Eagle Outfitters Strengthens Capital Structure - Read How - American Eagle Outfitters (NYSE:AEO)

American Eagle Outfitters Inc AEO has entered into an accelerated share repurchase agreement (ASR) with JPMorgan Chase Bank, National Association to repurchase $200 million of the company's shares.
The repurchase equates to about 16.7 million shares based on the closing price on June 2, 2022, representing about 8% of the company's outstanding shares.
The ASR has been entered related to the existing share repurchase authorization of 30 million shares.
American Eagle is also pursuing an upsize and extension of its ABL facility to $600 million with a term of five years to tap additional liquidity.
In addition, AEO has entered into exchange agreements with holders of its 3.75% Convertible Senior Notes due 2025 in exchange for a combination of cash and shares of the company's common stock.
Price Action: AEO shares are trading higher by 1.42% at $12.15 in premarket on the last check Friday.