easy · Private Credit & Debt documentation-covenants-terms
In the event of an 'Equity Cure', what is the PE sponsor typically doing to resolve a financial covenant breach?
- Extending the maturity of the loan by two years
- Lowering the interest rate by 200 basis points
- Selling the company's equipment to pay down the senior loan
- Injecting new cash into the company to pay down debt or increase deemed EBITDA
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