RadioShack Corp said a group of investors led by Standard General LP have replaced GE Capital as lead lender of its asset-based credit facility, in a move that will allow the struggling electronics retailer to tap more funds ahead of the crucial holiday shopping season.Standard General, Litespeed Management LLC and other investors are also providing $120 million to be used to cash collateralize letters of credit for the company, RadioShack said in a statement.The company said it would seek to convert the $120 million into equity "in the coming months", following which RadioShack's board would be reconstituted with the CEO, two independent directors selected by RadioShack, and four people nominated by Standard General.Reuters reported earlier in the day that a group of investors replaced the $585 million debt facility provided by GE.
RadioShack Corporation (RadioShack) is engaged in the retail sale of consumer electronics goods and services through its RadioShack store chain. Shares of RSH remained unchanged at $0.99. In the past year, the shares have traded as low as $0.55 and as high as $3.88. On average, 6023940 shares of RSH exchange hands on a given day and today's volume is recorded at 2277196.
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