Loyalty Ventures and Lenders Start Confidential Debt Talks

Loyalty Ventures Inc. and some of its lenders have entered into confidential talks to hammer out a deal that would ease the company’s liquidity strain, according to people with knowledge of the situation.

The consumer loyalty and rewards company is expected to see its cash and liquidity tighten as principal repayments, such as amortization obligations, come due, said the people, who asked not to be identified because the talks are private.

Plano, Texas-based Loyalty Ventures owns and operates rewards programs where customers earn points that can be redeemed for products and services elsewhere. It has struggled recently to sign ...