Katapult obtains limited waiver on loan covenant default through Oct 20; lenders gain conversion rights at $16.54 VWAP

Katapult Holdings, Inc.

Company defaulted on Minimum Trailing Three-Month Originations covenant as of Aug 31 and Sept 30, 2025.
Lenders temporarily waive default until Oct 20, 2025; no commitment to extend beyond.
Class B Lenders can convert up to 100% of Term Loan into common stock at 20-day VWAP (~$16.54 as of Oct 10).
Credit Parties release all claims against lenders except for fraud, gross negligence, or willful misconduct.
Conversion rights exercisable anytime after execution; potential significant dilution for existing shareholders.

This headline and bullets were generated automatically by deepseek-v4-flash:cloud@v2 from the public filing. Read the source on SEC.gov before relying on any specific claim. Not investment advice. See methodology for how this pipeline works.