Cash-strapped discount retail chain Gabe’s is exploring strategic options including a potential capital injection to help shore up its reserves, according to people with knowledge of the matter.
The Warburg Pincus-backed company is working with Jefferies Financial Group Inc. to evaluate the best course of action, which could also include selling the retailer, said the people, who asked not to be identified because the discussions are private. The company’s roughly $168 million first-lien term loan maturing in 2028 is quoted around 81.25 cents on the dollar, according to data compiled by Bloomberg.
The search for capital comes as the ...
