medium · Private Credit & Debt documentation-covenants-terms
CloudPath SaaS has an LTM EBITDA of $20,000,000 and Net Debt of $80,000,000. The springing covenant trigger is set at 35% Revolver utilization.
If the company draws $10,000,000 on its $40,000,000 Revolver, what is the active leverage headroom?
- 10.0%
- 11.1%
- Unlimited
- 27.3%
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