Dragonfly Energy Holdings Corp. entered into a Limited Waiver and Eighth Amendment to its senior secured term loan facility on September 30, 2026. The agreement was executed with lenders and Alter Domus (US) LLC, acting as agent, regarding the Company’s Term Loan. Under the terms of the Eighth Amendment, the lenders have waived the testing of the minimum liquidity covenant for the fiscal month ending September 30, 2026. Additionally, the lenders waived any default arising from the deferral of a portion of the cash dividend payable on Series B Preferred Stock, provided the dividend is paid according to a modified schedule. As consideration for the amendment, the Company agreed to pay an amendment fee of $450,000, which will be added to the outstanding principal balance of the Term Loan.
Separately, on the same date, the Company and the holders of all outstanding shares of Series B Convertible Preferred Stock entered into a limited waiver. This waiver allows the Company to defer payment of the full cash dividend on the Series B Preferred Stock for the quarter ending September 30, 2026. The holders agreed to accept a modified payment schedule under which the Company must pay cash dividends at a rate of two percent per annum on or before October 1, 2026, and six percent per annum on or before October 30, 2026. Payment-in-kind dividends will continue to accrue at a rate of two percent per annum. The Company stated that compliance with this modified schedule will not constitute a Non-Payment Event or Preferred Default.
