On December 19, 2025, Bloom Energy Corporation entered into a Credit Agreement with Wells Fargo Bank, National Association, as administrative agent and collateral agent, the letter of credit issuer party thereto, and the financial institutions party thereto as lenders. The Credit Agreement provides for a $600 million senior secured multicurrency revolving credit facility (the ?revolving credit facility?). Borrowings under the revolving credit facility will be available in U.S. dollars, British pounds sterling, euros, Japanese yen, Singapore dollars, and other approved foreign currencies.
Proceeds of borrowings under the revolving credit facility may be used to finance working capital, capital expenditures, and permitted acquisitions, and for other general corporate purposes. Maturity Date: Subject to acceleration upon the occurrence of certain events (as described in the Credit Agreement), the revolving credit facility matures on December 19, 2030. Loans under the revolving credit facility bear interest, at the Company?s option, at an annual rate equal to Term SOFR plus an applicable margin ranging from 1.50% to 2.25% or an adjusted base rate plus an applicable margin ranging from 0.50% to 1.25%, based on the Company?s Total Leverage Ratio.
The Company is required to pay a commitment fee ranging from 0.20% to 0.35% per annum on the undrawn portion available under the revolving credit facility, based on the Company?s Total Leverage Ratio, and customary letter of credit fees, as necessary. The obligations under the Credit Agreement are secured by a lien on substantially all of the tangible and intangible personal property of the Company, other than intellectual property, and by a pledge of substantially all of the shares of stock, partnership interests and limited liability company interests of the direct material domestic subsidiaries of the Company and 65% of each class of capital stock of any first-tier material foreign subsidiaries of the Company, subject to limited exceptions. As of the date of this filing, each of the Company's subsidiaries is an "Immaterial Subsidiary" under the Credit Agreement and, consequently, none of the shares of stock, partnership interests and limited liability company interests of these entities secure the obligations under the Credit Agreement.
The Credit Agreement contains financial covenants that require the Company to maintain (i) a Secured Leverage Ratio (as defined in the Credit Agreement) less than or equal to 3.25 to 1.00 and (ii) a Consolidated Interest Coverage Ratio (as defined in the Credit Agreement) greater than or equal to 3.00 to 1.00, each tested at the end of each fiscal quarter. The Total Leverage Ratio financial covenant is subject to a 0.50 to 1.00 step-up for four fiscal quarters following a Material Acquisition (as defined in the Credit Agreement) and subject to the other conditions contained in the Credit Agreement. The Credit Agreement also contains a number of covenants and restrictions that, among other things, restrict the Company?s and its subsidiaries?
ability to incur additional debt, pay dividends and make distributions, make certain investments and acquisitions, prepay certain indebtedness, create liens, enter into agreements with affiliates, and merge or consolidate. Non-compliance with one or more of the covenants and restrictions could result in the full or partial principal balance of the Credit Agreement becoming immediately due and payable.
