Office Properties Income Trust ( OPI ) stocks are moving higher on Tuesday. The REIT announced a debt refinancing plan for up to $340 million. Here’s what you need to know.

What To Know: The company plans to exchange up to $340 million of its $453.6 million of its senior unsecured notes due in 2025. It will repurchase, redeem or pay the remaining $113.6 million of the senior notes.

The notes will be exchanged for senior secured notes due in March 2027 with a 3.25% interest rate. The notes have a $125 million mandatory repayment by March 1 2026.

The new notes are backed by liens on Office Properties Income’s properties, providing collateral security. In connection with the exchange, OPI will pay $15 million to backstop parties and $10 million to exchanging noteholders as support premiums.

“We believe this agreement is an important milestone in our ongoing efforts to address our debt maturities in the face of operational and market headwinds. We appreciate the constructive dialogue with our noteholders and thank them for their ongoing support,” said Brian Donley, CFO of Office Properties Income ( OPI ).

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OPI Price Action: At the time of writing, Office Properties Income ( OPI ) stock is trading 9.70% higher at $1.81, according to data from Benzinga Pro.

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