Sears Holdings Corporation has raised $100m in new financing and is pursuing an additional $200m from other counterparties.
The retailer's shares jumped more than 8% in premarket trading on the news.
The news came following the announcement that same-store sales had dropped between 16 and 17% for the first two months of the fourth quarter.
The company said it was also in discussions with certain lenders regarding additional transactions to improve the terms on potentially more than $1bn of its non-first lien debt.
Streamline its operations
It outlined incremental actions to further streamline its operations to drive profitability, including cost reductions of $200m on an annualised basis in 2018 unrelated to store closures.
Rob Riecker, Sears Holdings' Chief Financial Officer, said: "As previously announced, we are actively pursuing transactions to adjust our capital structure in order to generate liquidity and increase our financial flexibility. The new capital we have secured represents meaningful progress towards those objectives and demonstrates that we continue to have options to finance our business."