Matthews International Corporation entered into a Ninth Amendment to its Third Amended and Restated Loan and Security Agreement on September 1, 2026. The amendment aligns the terms of the credit facility with the company's structure following recent divestitures.
Under the new terms, the Company’s 40% interest in the Propelis Joint Venture is excluded from the calculation of the Leverage Ratio. To accommodate this, the agreement establishes a Covenant Relief Period that runs from the closing date of the amendment through December 31, 2027. During this period, the Company must maintain a Leverage Ratio of less than or equal to 5.25 to 1.00 for the quarters ending September 30, 2026, December 31, 2026, March 31, 2027, and June 30, 2027. The ratio requirement then tightens to 5.00 to 1.00 for the quarter ending September 30, 2027, and 4.75 to 1.00 for the quarter ending December 31, 2027. Upon the termination of the Relief Period, the Leverage Ratio will be 4.50 to 1.00 for the following quarter and each subsequent quarter, provided the Propelis Joint Venture has not been sold or otherwise disposed of at that time.
The amendment also reduces the aggregate principal amount available under the revolving credit facility from $700 million to $650 million. Additionally, Matthews Europe GmbH was released from the Credit Agreement and discharged from its obligations as a Foreign Borrower. Consequently, the aggregate amount of revolving credit loans and letters of credit for all Foreign Borrowers is reduced to $0.00 from $350 million.
