XBP Global Holdings, Inc. 8-K

What Happened
XBP Global Holdings, through its subsidiary XBP Americas, LLC (the Borrower), announced a Limited Waiver and Third Amendment to its Asset‑Based Lending (ABL) Credit Agreement with MidCap Funding IV Trust (Agent) and the lenders. The amendment was executed on March 6, 2026 and follows prior amendments dated December 19, 2025 and January 21, 2026. The Third Amendment changes several borrowing and covenant mechanics intended to affect the company’s short‑term liquidity and borrowing capacity.

Key Details

• The amendment eliminates the covenant that required the Borrower to maintain minimum excess availability of $7.5 million.
• It implements a temporary availability block through June 30, 2026 that can reduce borrowing capacity by the greater of $3.75 million or 5.0% of the borrowing base if the Borrower’s fixed charge coverage ratio falls below 1.00 to 1.00.
• It temporarily raises the advance rate for eligible investment‑grade billed accounts to 95.0% through September 30, 2026.
• The amendment also adjusts the borrowing base calculation, changes the mechanics for the cash dominion period, and resets the deferred revolving loan origination fee.

Why It Matters
These changes directly affect XBP’s near‑term liquidity and how much the company can borrow under its ABL facility. Removing the $7.5M minimum excess‑availability covenant and adding a conditional availability block change the triggers and scale of lender protections and the company’s borrowing headroom. Investors should watch the company’s cash flows, borrowing base, and fixed charge coverage ratio, as those metrics will determine actual borrowing capacity and potential lender controls under the amended agreement.