Sanmina enters $3.5B credit agreement to finance ZT Group acquisition

SANMINA CORP

• Credit facilities consist of $1.5B revolver and $2.0B term loan A, with initial funding contingent on closing ZT Acquisition.
• Expected interest rates: SOFR plus 1.75% margin (or base rate plus 0.75%) based on estimated leverage at funding.
• Covenants include max total net leverage ratio of 4.00x and min cash interest coverage ratio of 3.00x.
• Unfunded commitments subject to ticking fee of 0.25% per annum beginning 60 days after signing until funding or termination.
• Obligations secured by first-priority liens on substantially all assets; existing credit agreement remains outstanding until funding.