Loan & DebtOct 2, 2026, 05:06 PM
Dragonfly Energy Amends Term Loan, Modifies Preferred Stock Dividend Payment
AI Summary
Dragonfly Energy Holdings Corp. entered into an Eighth Amendment to its Term Loan Agreement, which includes a waiver of the minimum liquidity covenant for September 2026 and a waiver of default related to a deferred Series B Preferred Stock dividend payment. The company will pay an amendment fee of $450,000, which will be added to the principal balance of the Term Loan. The Series B Preferred Stock dividend payment schedule has been modified, with a portion due on October 1, 2026, and the remainder by October 30, 2026, while payment-in-kind dividends continue to accrue.
Key Highlights
- Dragonfly Energy amended its Term Loan Agreement, waiving the minimum liquidity covenant for September 2026.
- Lenders waived default related to deferred Series B Preferred Stock dividend, provided payment follows a modified schedule.
- Company to pay a $450,000 amendment fee, added to the outstanding principal balance of the Term Loan.
- Series B Preferred Stock dividend payment schedule modified: 2% cash by Oct 1, 2026, and remaining 6% cash by Oct 30, 2026.
- Payment-in-kind dividends on Series B Preferred Stock continue to accrue at 2% per annum.
Price Impact
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