The covenant waiver and tightened credit terms signal that SANUWAVE's operating performance has weakened, constraining its ability to pursue acquisitions or return capital. Monitor the next quarterly filing for the fixed charge coverage ratio and any further covenant breaches.
Price Chart
Executive Summary
SANUWAVE Health entered into Amendment No. 1 to its credit agreement with JPMorgan Chase, waiving a covenant default related to the fixed charge coverage ratio for the period ending September 30, 2026, and tightening several financial covenants including reducing permitted other secured indebtedness and subsidiary investments from $500,000 to $250,000. The company also agreed to pay a $5,000 amendment fee and must now obtain lender consent for acquisitions and share repurchases.
Key Financial Metrics
Key Facts
- Lenders waived a default arising from the fixed charge coverage ratio for the twelve months ending September 30, 2026, falling below the required 1.25 to 1.00 threshold.
- Permitted other secured indebtedness and permitted subsidiary investments were each reduced from $500,000 to $250,000.
- The company must now obtain prior written consent from required lenders for any Permitted Acquisition or Restricted Payment (including share repurchases).
- The prepayment threshold for loans was reduced from $500,000 to $250,000.
- SANUWAVE paid a $5,000 amendment fee.
- Market cap is $44 million, making the covenant waiver and tightened terms material relative to company size.
Financial Impact
Covenant waiver indicates financial stress; tightened covenants reduce financial flexibility. Amendment fee of $5,000 is immaterial.
Risk Factors
- Further covenant violations could trigger acceleration of debt or cross-defaults.
- Reduced financial flexibility may limit growth or working capital management.
- The waiver is a one-time event and does not cure ongoing underperformance.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001628280-26-067943 |
| Document: snwv-20261028.htm | 0001628280-26-067943 |
| Document: 0001628280-26-067943-index-headers.html | 0001628280-26-067943 |
| Document: 0001628280-26-067943-index.html | 0001628280-26-067943 |
| Document: 0001628280-26-067943.txt | 0001628280-26-067943 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 28, 2026 3d ago | 8-K | $5.27 | awaiting T+60 | awaiting T+60 | $5.15 (+2.28%) |
Sep 25, 2026 5w ago | 8-K | $4.65 | awaiting T+60 | awaiting T+60 | $5.15 (−10.75%) |
Aug 6, 2026 12w ago | 8-K | No price | awaiting T+60 | awaiting T+60 | No price |
Aug 6, 2026 12w ago | Press Release | $5.88 | awaiting T+60 | awaiting T+60 | $5.15 (+12.41%) |
Jul 30, 2026 13w ago | Press Release | $6.17 $5.07 | ▼ −17.83% | ▼ −20.28% | $5.15 (−16.53%) |
Jun 16, 2026 19w ago | 8-K | $8.51 $4.00 | ▲ +53.00% | ▲ +54.00% | $5.15 (+39.48%) |
Jun 16, 2026 19w ago | Press Release | $8.51 $4.00 | ▲ +53.00% | ▲ +54.00% | $5.15 (+39.48%) |
Jun 11, 2026 20w ago | Institutional Cluster | $14.69 $4.38 | ▼ −70.18% | ▼ −74.58% | $5.15 (−64.94%) |
May 12, 2026 24w ago | Press Release | $18.94 $5.88 | ▼ −68.95% | ▼ −73.39% | $5.15 (−72.81%) |
May 6, 2026 25w ago | Press Release | $16.65 $6.31 | ▼ −62.10% | ▼ −65.94% | $5.15 (−69.07%) |
US Market Status
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