OTHER NEWS - May 2, 1992
From Times Staff and Wire Reports
Ralphs Will Go Public: Ralphs Supermarkets said it will recapitalize in a financial restructuring designed to cut interest costs. The plan will include an initial public offering of 6 million shares. It also includes a public offering of $300 million of new senior notes maturing in 2002. The proceeds from the stock sale and the note offering will be used to retire Ralphs’ high-cost debt now outstanding. The company said it is concurrently making a cash tender offer for all of its outstanding $400 million of senior debentures maturing in 2000. Those older notes pay 14% interest, far above current market interest rates.
