Restructuring Parameters Bloomberg Benchmark
Term Loan B tranche target for syndication (Prior: $2,100M TLB)
Blended SOFR + credit spread offered to participating lenders
Weighted average rate on existing legacy maturities
Reported ~$120M adj. quarterly EBITDA running at ~$650M run-rate
Target maturity shift out to 2029-2031
Includes $2,000M TLB + $400M drawn revolver & notes
Urgent Maturity Addressed - Covenant Compliant
Annual Interest Savings
$30.0M
From 8.75% to 7.25% spread
Interest Coverage Ratio
2.83
EBITDA / New Annual Interest
Post-Refinance Leverage
3.08x
Refinanced Facility / EBITDA
Runway Extension
4.5 yrs
Pushed past Mar 2027 cliff
Debt Facility Pro-Forma Composition
$2,400M Total
EBITDA Sensitivity Matrix vs. Pricing Coverage & Leverage Stress Test
| EBITDA Case | EBITDA ($M) | Debt/EBITDA | Net Debt/EBITDA | Int. Coverage @ 6.5% | Int. Coverage @ Cur Rate | Int. Coverage @ 8.5% |
|---|
Covenant Warning Threshold: Coverage < 2.0x or Leverage > 5.0x
Deal Intelligence & Sources
Case: Thoma Bravo portfolio company Sophos is addressing an urgent maturity cliff ahead of a March deadline (March 2027 term loan of ~$2.1B plus revolving credit facility). S&P revised outlook to negative from positive in May 2026 citing refinancing risks, while Moody's rated B3. Thoma Bravo and Goldman Sachs are leading loan syndication and amendment-and-extension negotiations without equity sponsor injections.
Reference: Bloomberg News Alert (@business) ยท Research Verified: 2026.