BREAKING: Labcorp ($LH) CONFIRMED a $750M senior unsecured term loan — fully funded Mar 20, 2026; matures…
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BREAKING: Labcorp ($LH) CONFIRMED a $750M senior unsecured term loan — fully funded Mar 20, 2026; matures Mar 20, 2028. Wells Fargo & PNC led the facility. 🚨💰 #BREAKING #Labcorp #Debt #Liquidity
ALERT: What this means — immediate cash boost but higher leverage risk: covenant caps consolidated leverage at 4.0x (can be 4.5x temporarily for acquisitions via a "Leverage Holiday"). Could constrain buybacks/dividends/M&A. ⚖️📉 $LH #Leverage #FinTwit #M&A
Key terms — interest = SOFR +0.70% (or base rate +0%); Labcorp Holdings is parent guarantor; customary covenants & events of default (acceleration risk). Loan fully funded at closing. 🏦📄 $LH #CreditAgreement #DebtMarkets #8K
Crucial covenants — limits on debt for non‑guarantor subsidiaries, liens, mergers/disposals; Leverage Holiday can be used multiple times but requires ≤4.0x for two quarters before reuse. See 8‑K Ex.10.1 for full terms. 🔍📝 $LH #SEC #CorporateFinance