Company: SWKH
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050155
Chunk: 32

Company: SWK Holdings Corp
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 32
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00 to 1:00, the net charge-off percentage in relation to Borrower's portfolio of loan assets will not be less than 8% for such calendar month, and cumulative share repurchases will not exceed $7.0 million in value in any 12-month period. As of September 30, 2025 there was no outstanding balance under the Credit agreement and $6.2 million outstanding as of December 31, 2024. During the three and nine months ended September 30, 2025, the Company recognized $0.3 million and $0.7 million, respectively, of interest expense in connection with the Credit Agreement. During the three and nine months ended September 30, 2024, the Company recognized $0.2 million and $0.8 million, respectively, of interest expense in connection with the Credit Agreement.Senior Notes Due 2027On October 3, 2023, the Company issued a $30.0 million aggregate principal amount of 9.00% Senior Notes due 2027 ("2027 Senior Notes" or "Notes”) in a registered underwritten public offering. On October 27, 2023, the underwriter exercised, in full, its over-allotment option by purchasing an additional approximately $3.0 million aggregate principal amount of the 2027 Senior Notes. The interest rates are fixed at 9.00% per annum and are payable quarterly in arrears on March 31, June 30, September 30, and December 31 of each year, commencing on December 31, 2023, and until maturity. The Notes will mature on January 31, 2027. The total net proceeds from the debt offering, after deducting initial purchase discounts and debt issuance costs, were approximately $30.6 million. The Company intends to use the net proceeds from the offering for general corporate purposes, including funding future acquisitions and investments, repaying indebtedness, making capital expenditures, and funding working capital.The following table summarizes the outstanding balance of the Notes, net of debt issuance costs (in thousands):September 30, 2025December 31, 20242027 Senior Notes$32,969 $32,969 Debt issuance costs(1,048)(1,557)Total unsecured senior notes, net$31,921 $31,412 The Company’s future principal obligations for the Notes were as follows (in thousands):September 30