Montauk Renewables, Inc. 8-K

What Happened
Montauk Renewables, Inc. (MNTK) filed an 8-K reporting that its subsidiary, Montauk Energy Holdings, LLC (MEH), entered into the Sixth Amendment to its Second Amended and Restated Revolving Credit and Term Loan Agreement on December 31, 2025. The amendment replaces the prior "Total Leverage Ratio" definition with a new "Total Net Leverage Ratio" and sets the covenant at 3.50-to-1.00 for the quarter ended December 31, 2025, stepping down to 3.00-to-1.00 on March 31, 2026 and for each fiscal quarter thereafter. Comerica Bank remains the administrative agent for the lenders.

Key Details

• Amendment date: December 31, 2025; original agreement dated December 12, 2018.
• New covenant: Total Net Leverage Ratio of 3.50:1 for Q4 2025, stepping to 3.00:1 on March 31, 2026 and thereafter.
• Reporting change: MEH must provide additional monthly financial information and analysis to lenders within 15 business days after each month-end.
• Administrative agent: Comerica Bank; full amendment is filed as Exhibit 10.14.7 to the 8-K.

Why It Matters
This is a material amendment to Montauk's credit facility that changes how leverage is measured and temporarily allows a higher leverage level (3.50:1) before tightening to 3.00:1. For investors, the change affects the company’s covenant headroom and financial flexibility and signals renegotiated terms with lenders — including enhanced monthly reporting — which could influence liquidity management and financing options. The amendment is filed as part of the company’s 8-K disclosure.