Advance Auto Parts (AAP) said Thursday it expects to raise $1.50 billion through a newly launched senior unsecured notes offering that comprises two tranches of notes due 2030 and 2033.

Concurrently with the offering's closing, Advance Auto Parts said it plans to enter into an asset-based loan revolving credit facility to replace its existing credit facility, adding that the new ABL facility will offer for a five-year senior secured first lien asset-based revolving credit facility of up to $1 billion.

Net proceeds will be used to redeem all of Advance Auto Parts' outstanding 5.90% senior notes due March 9, 2026, and for general corporate purposes, the company said.

The company also said that a portion of the net proceeds, along with cash on hand, will likely be contributed as qualified cash to the preliminary borrowing base for the ABL facility in an initial amount not exceeding $2.50 billion.

Advance Auto Parts shares were up nearly 6% in recent Thursday premarket activity.