The leaders of Tractor Supply have finalized the sale of $650 million in 10-year debt it will use to refinance other borrowings.
Brentwood-based Tractor Supply will pay a mere 1.75 percent interest on its new notes, the sale of which was handled by a bank group led by Goldman Sachs, Wells Fargo Securities and Regions Securities.
The company’s executives plan to pay down the $350 million outstanding on the term loan they set up in April as well as $210 million from loans they took out in 2016 and 2017. The retailer now has a total long-term debt load of $987 million, about half of its shareholders’ equity.
Tractor Supply shares (Ticker: TSCO) were up slightly to $133.22 early Friday afternoon. They have climbed nearly 50 percent year to date, pushing the company’s market capitalization to $15.5 billion.