10:06 AM EST, 11/13/2024 (MT Newswires) -- Wingstop ( WING ) said Wednesday it intends to enter into a new securitized financing facility that is expected to lead to the issuance of senior notes and increased capacity of its variable funding note facility.

The company said it plans to issue $500 million of new securitized notes, in addition to its current series 2022-1 and 2020-1 fixed-rate senior notes.

The company said it intends to use the net proceeds from the issuance to pay transaction fees, boost its liquidity position and for general corporate purposes, which may include the repurchase of common shares.

Wingstop ( WING ) said it is also looking to increase the capacity of its current variable funding note facility to $300 million from $200 million. Borrowing capacity under the facility of up to $300 million will become available as it satisfies certain conditions.

The transaction is expected to close in Q4, the company said.

Wingstop ( WING ) shares were up nearly 2% in recent Wednesday trading.

Price: 344.97, Change: +6.59, Percent Change: +1.95