Company: LGN
Filing Date: 2025-02-14
Form Type: DRS
Source: 0000950123-25-002471
Chunk: 126

Company: Legence Corp.
Filing Date: 2025-02-14
Form: DRS
Chunk 126
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 plus a margin of either 2.75%, 3.00% or 3.25%, which margin is determined based on the company’s most recently reported Consolidated First Lien Net Leverage Ratio (the “First Lien Net
Leverage Ratio”), generally defined as the ratio of first lien secured indebtedness (net of cash) to consolidated pro forma adjusted EBITDA for the preceding four fiscal quarters. SOFR loans are subject to a floor of 0.75%. Interest on SOFR
loans is payable (a) based on the selected interest period if such interest period is less than three months or (b) quarterly if the selected interest period is three months or longer. Base rate loans bear interest at a rate equal to
either 1.75%, 2.00% or 2.25%, which margin is determined based on the company’s most recently reported First Lien Net Leverage Ratio, plus the base rate, which is equal to the greater of (a) the federal funds rate plus 0.50%, (b) the prime
rate and (c) one-month SOFR plus 1.00%. Interest on base rate loans is payable quarterly. Our First Lien Net Leverage Ratio was , 4.43 and 5.94 as of December 31, 2024,
December 31, 2023 and December 31, 2022, respectively. Our consolidated pro forma adjusted EBITDA, as defined in the Credit Agreement, was , $214.2 million and $172.5 million as of December 31, 2024,
December 31, 2023 and December 31, 2022, respectively. The Credit Agreement defines consolidated pro forma adjusted EBITDA differently than Adjusted EBITDA described herein. The Credit Agreement allows us to make certain adjustments in
calculating consolidated pro forma adjusted EBITDA, some of which are not included in the calculation of Adjusted EBITDA described herein. The interest rate applicable to the term loans was %, 8.96% and 8.13% as of December 31, 2024,
December 31, 2023 and December 31, 2022, respectively.

Legence Holdings can also elect for advances, including standby letters
of credit, under the Revolving Credit Facility to be treated as either SOFR loans or base rate loans. SOFR loans bear interest at a rate equal to SOFR plus 3.50