Loan & DebtJun 12, 2026, 06:06 AM
Shoals Technologies Adds $50M Revolving Loan, Modifies Leverage Covenant
AI Summary
Shoals Technologies Group, Inc. has amended its Credit Agreement, adding a new tranche of $50,000,000 in incremental revolving loans. The amendment also replaces the first lien secured leverage ratio covenant with a consolidated total leverage ratio of 4.00:1.00, with provisions for temporary increases related to acquisitions. The total commitment under the agreement now stands at $250,000,000.
Key Highlights
- Shoals Technologies Group, Inc. amended its Credit Agreement dated November 25, 2020.
- A new tranche of incremental revolving loans totaling $50,000,000 was added.
- The amendment replaces the maximum consolidated first lien secured leverage ratio covenant with a maximum consolidated total leverage ratio of 4.00:1.00.
- Temporary increases to the maximum consolidated total leverage ratio are permitted in the event of a material acquisition.
- The aggregate amount of the Company's commitments under the Credit Agreement is now $250,000,000.
- The 2026 Incremental Revolving Loans have substantially the same terms as existing revolving loans and can be prepaid without premium or penalty.
Price Impact
More from SHLS