CIT Group gets $4.5B loan as it restructures
Published 5:00 am Thursday, October 29, 2009
NEW YORK — CIT Group Inc., one of the nation’s largest lenders to small and midsized businesses, said Wednesday it received $4.5 billion in credit from its own lenders and bondholders as it tries to avoid collapse.
The company has been trying for months to restructure its operations and reduce its debt burden to avoid bankruptcy. The loan also comes as CIT Group has been facing pressure from billionaire investor and bondholder Carl Icahn who was been trying to get investors to reject the company’s restructuring plan.
The new $4.5 billion loan is being financed by a group of lenders, including some bondholders, that provided CIT with a $3 billion lifeline over the summer.
— From wire reports