The repeated pattern of amendments (eighth amendment since 2022) signals that the company is under sustained covenant pressure and liquidity is tight. The next liquidity test (October 2026) and the October 30, 2026 deferred dividend payment are the immediate catalysts. Monitor for a potential Ninth Amendment or a broader restructuring if liquidity does not improve.
Price Chart
Executive Summary
Dragonfly Energy entered into its Eighth Amendment to its senior secured term loan agreement, obtaining a waiver of the minimum liquidity covenant for September 2026 and a waiver of default related to deferring a portion of the Series B Preferred Stock cash dividend. The company paid a $450,000 amendment fee (paid-in-kind to principal) and secured a limited waiver from Series B preferred holders to defer 6% of the quarterly cash dividend by 29 days. This is the eighth amendment since 2022, signaling recurring covenant pressure and a tight liquidity position.
Key Financial Metrics
Key Facts
- Lenders waived testing of the minimum liquidity covenant solely for the fiscal month ending September 30, 2026.
- Lenders waived default arising from deferral of a portion of the Series B Preferred Stock cash dividend due October 1, 2026.
- Company paid a $450,000 amendment fee, added to the outstanding principal balance of the Term Loan.
- Series B preferred holders waived right to receive full cash dividend on October 1, 2026; 2% per annum paid on time, 6% deferred to October 30, 2026.
- This is the Eighth Amendment to the Term Loan Agreement, with prior amendments dating back to June 2024, indicating repeated covenant breaches.
Financial Impact
Amendment fee of $450,000 paid-in-kind to loan principal; 6% of the quarterly cash dividend on Series B Preferred deferred by 29 days.
Risk Factors
- Recurring covenant waivers signal ongoing operational or liquidity stress; lenders may demand more onerous terms in future amendments.
- Deferred dividend deferral to preferred holders indicates cash conservation is necessary, potentially limiting operational flexibility.
- If the company cannot meet the October 30, 2026 deferred dividend payment, a Preferred Default could be triggered, escalating the situation.
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001493152-26-045583 |
| Exhibit: ex10-2.htm | 0001493152-26-045583 |
| Document: form8-k.htm | 0001493152-26-045583 |
| Document: 0001493152-26-045583-index-headers.html | 0001493152-26-045583 |
| Document: 0001493152-26-045583-index.html | 0001493152-26-045583 |
| Document: 0001493152-26-045583.txt | 0001493152-26-045583 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 23, 2026 2d ago | 8-K | $2.42 | awaiting T+5 | — | $2.29 (+5.38%) |
Oct 8, 2026 18d ago | 8-K | $3.92 $2.92 | ▼ −25.51% | ▼ −25.23% | $2.29 (−41.58%) |
Oct 2, 2026 23d ago | 8-K | $5.68 $3.54 | ▲ +37.68% | ▲ +38.10% | $2.29 (+59.68%) |
Sep 25, 2026 4w ago | 8-K | $6.84 $5.68 | ▲ +16.96% | ▲ +18.16% | $2.29 (+66.52%) |
Jul 31, 2026 12w ago | 8-K | $1.17 $1.32 | ▲ +12.82% | ▲ +9.31% | $2.29 (+95.72%) |
Jul 31, 2026 12w ago | Press Release | $1.17 $1.32 | ▲ +12.82% | ▲ +9.31% | $2.29 (+95.72%) |
Jun 18, 2026 18w ago | 8-K | $1.98 $1.82 | ▼ −8.08% | ▼ −6.41% | $2.29 (+15.65%) |
Mar 17, 2026 31w ago | 8-K/A | $2.28 $2.09 | ▼ −8.33% | ▼ −5.68% | $2.29 (+0.43%) |
Mar 16, 2026 31w ago | Press Release | $2.28 $2.09 | ▲ +8.33% | ▲ +5.68% | $2.29 (−0.43%) |
Mar 13, 2026 32w ago | Press Release | $2.99 $2.02 | ▼ −32.44% | ▼ −30.32% | $2.29 (−23.41%) |
US Market Status
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