Loan & DebtJun 30, 2026, 04:07 PM
Stabilis Solutions Amends Loan Agreement, Revises Covenants
AI Summary
Stabilis Solutions, Inc. and its subsidiaries entered into a Second Modification Agreement with The Huntington National Bank on June 29, 2026, amending their existing Loan Agreement. The modification revises the financial covenant to require a minimum Fixed Charge Coverage Ratio of 1.20 to 1.00, commencing March 31, 2027. Additionally, a Cash Collateral Account of at least $5,000,000 was established, limiting revolving credit availability until covenant compliance is demonstrated.
Key Highlights
- Stabilis Solutions and subsidiaries entered a Second Modification Agreement with The Huntington National Bank on June 29, 2026.
- The agreement amends the Loan Agreement dated June 9, 2023.
- Revised financial covenant requires a minimum Fixed Charge Coverage Ratio of 1.20 to 1.00, starting March 31, 2027.
- Established a segregated Cash Collateral Account with at least $5,000,000.
- Revolving credit availability is limited to the Cash Collateral Account (up to $10,000,000) until covenant compliance.
- The company paid an upfront fee of $15,000 to the Bank.
Price Impact
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