CIT Group has sweetened the terms of a restructuring plan after struggling to win bondholder support for concessions to reduce CIT’s $30bn debt load. The amended terms, announced late Friday, were agreed in talks between the troubled US commercial lender and its bondholders who earlier this year provided CIT with $3bn of rescue financing. The plan aims to reduce CIT’s debt by at least $5.7bn through a debt exchange. CIT is also soliciting votes for a prepackaged Chapter 11 bankruptcy should it fail to win bondholder support for the scheme.

This entry was posted by Gwen Robinson on Monday, October 19th, 2009 at 4:44 and is filed under Capital markets. Tagged with CIT. Edit this entry.