2026-03-27 20:16:50
Gen Digital Inc. Amends Credit Agreement, Extends Maturity Date to 2031
Expected Stock impact: Slightly Positive
On March 27, 2026, Gen Digital Inc. announced the execution of the Third Amendment to its Amended and Restated Credit Agreement with Bank of America, N.A. This amendment extends the maturity date of the company's $1,500 million Revolving Credit Facility to March 27, 2031. The extension is subject to a springing maturity date contingent upon the company meeting a minimum liquidity test. Additionally, the amendment includes provisions for the establishment of a new class of term loans, referred to as Extended Term A Loans, which will also mature on the extended date. The company has incurred additional Extended Term A Loans, utilizing the proceeds along with cash on hand to fully repay all remaining Initial Tranche A Term Loans. This strategic move is expected to enhance Gen Digital's liquidity position and provide greater financial flexibility moving forward. The Extended Term A Loans will bear interest based on either the bank's base rate or the secured overnight financing rate, with margins determined by the company's debt rating and leverage ratio. This amendment reflects the company's proactive approach to managing its debt obligations and ensuring sufficient liquidity for future operational needs.
