Real Good Food Company, Inc. ( RGF ) shares are racing higher in extended trading Thursday after the company announced debt refinancing transactions with PMC Financial Services and Emblem Investment Fund for a $60 million new term loan.

The Details: The company said it will apply $8 million of the proceeds to repay the existing PMC financing and $52 million for transaction fees and general corporate purposes to support the expansion of its manufacturing capabilities and drive several corporate initiatives to position the company for profitable long-term growth. 

Additionally, as part of the agreement, the company issued 19.99% of its outstanding equity to Emblem in the form of Class C Units of its subsidiary, Real Good Food LLC, which are exchangeable into the company’s common shares.

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“We are thrilled to announce these transformational transactions, which provide us with significant liquidity and therefore the capability to make critical investments in our supply chain and strategic initiatives. This will better position our supply chain to meet strong demand for our products and improve service for our customers, which sets the foundation for profitable long-term growth,” said Tim Zimmer, CEO of Real Good Foods. 

Real Good Food Company ( RGF ) shares are moving on heavy trading volume following the announcement with more than 7.6 million shares traded in Thursday's session, according to data from Benzinga Pro.  

RGF Price Action: According to Benzinga Pro, the Real Good Food Company ( RGF ) shares are up 66.76% after-hours at 62 cents at the time of publication Thursday.

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