Direct Digital Holdings Enters Term Loan Amendment; $695K New Loan

What Happened

• Direct Digital Holdings, Inc. filed an 8-K (dated August 28, 2026) disclosing that its subsidiary Direct Digital Holdings, LLC entered into a Thirteenth Amendment to its Term Loan and Security Agreement on August 26, 2026 with Lafayette Square (agent/lender) and affiliated guarantors.
• The amendment adds a new term loan in the principal amount of $695,000 (the “Thirteenth Amendment Term Loan”), funds $15,000 for an interest reserve and is for general corporate purposes and working capital. The new loan matures on October 12, 2026 and bears the same interest rate as the existing term loans under the facility.

Key Details

• Principal added: $695,000; interest reserve funded: $15,000; total outstanding under the Term Loan Facility after amendment: $15.5 million.
• Repayment schedule: weekly installments — at least $20,000 for the week of Aug 31, 2026; at least $100,000 each week from the week of Sep 7, 2026 through the week of Oct 5, 2026 (payments due on the last business day of each week); final $175,000 due at maturity on Oct 12, 2026.
• The amendment confirms deadlines from a prior waiver dated Aug 18, 2026 and adds a new financial covenant related to cash flow variances.
• The Thirteenth Amendment keeps the same mandatory prepayment and acceleration terms as the existing Term Loan Facility.

Why It Matters

• The filing documents new near-term borrowing and specific, sizable weekly repayment obligations that are due ahead of the October 12, 2026 maturity date, which affects the company’s short-term cash and debt schedule.
• Investors should note the addition of a cash-flow-variance covenant and the confirmed waiver deadlines — both are material to the company’s compliance requirements under its loan facility.