Digi International Amends Credit Agreement to Lower Interest Margins and Adjust Fee Structure

Reuters2025-12-31
Digi International Amends Credit Agreement to Lower Interest Margins and Adjust Fee Structure

Digi International Inc. has entered into a First Amendment to its Revolving Credit Agreement with BMO Bank N.A., acting as administrative and collateral agent, and a group of lenders. The amendment, effective December 23, 2025, revises the terms of the original agreement dated December 7, 2023. Key changes include the introduction of a new pricing level for calculating the commitment fee rate and applicable margin based on Digi’s total net leverage ratio, as well as adjustments that generally reduce the applicable margin percentages for certain leverage ratios. The amendment also removes a 10 basis point credit spread adjustment on Term SOFR loans and increases the uncommitted amount available under the facility. For a transition period following the amendment, Digi will benefit from reduced margins on both base rate and Term SOFR loans.

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