HawkEye 360, Inc. 8-K

What Happened

• HawkEye 360, Inc. filed an 8‑K disclosing that on May 19, 2026 it entered a new senior secured revolving credit agreement for $125.0 million with Bank of America, N.A. as Administrative Agent, Swingline Lender and L/C Issuer. The Revolving Credit Facility matures May 19, 2031.
• The company also repaid in full on May 18, 2026 its outstanding Senior Term Loan with Silicon Valley Bank and its Mezzanine Loan with First‑Citizens; those commitments were terminated and related security interests released.

Key Details

• Facility amount: $125.0 million revolving credit facility; maturity May 19, 2031.
• Pricing: borrower’s choice of (a) Term SOFR + 2.25%–3.00% or (b) alternative base rate + 1.25%–2.00%, with a commitment fee of 0.250%–0.500% on unused commitments. Rate margins vary with the Company’s Total Net Leverage Ratio.
• Collateral & guarantees: guaranteed by the company’s material domestic subsidiaries and secured by first‑priority liens on substantially all personal property assets and certain equity interests (customary exceptions apply).
• Financial covenants (tested quarterly on trailing‑4 quarters): maximum Total Net Leverage Ratio of 3.50:1.00 (stepping down to 3.00:1.00 after six full fiscal quarters; may increase by 0.50x for certain acquisitions) and minimum Interest Coverage Ratio of 3.00:1.00.

Why It Matters

• The new facility provides HawkEye 360 with committed liquidity of $125M through 2031 and replaces prior term and mezzanine debt, potentially improving flexibility and simplifying the company’s capital structure.
• Financial covenants (leverage and interest coverage) set measurable limits that the company must meet each quarter; failure to comply could trigger defaults. Investors should watch leverage and cash‑flow trends and any uses of the new facility (e.g., working capital, acquisitions, or share repurchases) disclosed in future filings.