secwatch.observer — SEC 8-K summary
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Issuer:     DIGI INTERNATIONAL INC (DGII)
CIK:        0000854775
Form:       8-K
Filed at:   2023-12-11T23:59:59+00:00
Accession:  0001104659-23-125045
Event type: debt
Sentiment:  positive
Materiality: 0.50
Item codes: 1.01, 1.02, 2.03, 7.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

Digi International secures $250M revolver, replacing Term B loan; expects ~$4M annual interest savings
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- New $250M senior secured revolver with accordion feature for up to $95M or 100% of trailing EBITDA.
- Initial rate SOFR + 250 bps, saving 300 bps annually; expects ~$4M interest savings in first year.
- One-time non-cash charge of ~$0.26 per diluted share in fiscal Q1 from writing off deferred financing costs; FY24 guidance unchanged.
- Facility used to repay $215M Term B loan; covenants: max total net leverage 3.0x, min interest coverage 3.0x.
- CFO Jamie Loch says facility provides flexibility for growth initiatives and debt paydown.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/854775/000110465923125045/0001104659-23-125045-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/854775/000110465923125045/tm2332637d1_8k.htm
  HTML page:      https://secwatch.observer/filing/0001104659-23-125045

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