---
schema_version: "secwatch.filing_event.v1"
accession: "0001193125-23-259619"
form_type: "8-K"
ticker: "BENF"
cik: "0001775734"
company_name: "Beneficient"
filed_at: "2023-10-20T23:59:59+00:00"
generated_at: "2026-06-09T18:45:03.205704+00:00"
event_type: "earnings"
sentiment: "negative"
materiality_score: 0.8
calibrated_materiality_score: 0.8
confidence: "high"
source: SEC EDGAR
---

# Beneficient expects Q1 goodwill impairment and $50-60M write-down; enters $25M related-party loan

## Summary
- Expects significant goodwill impairment from interim analysis triggered by stock price decline.
- Expects $50-60M write-down on net asset value of interests in GWG Wind Down Trust as of Sep 30, 2023.
- Entered $25M term loan with HH-BDH LLC (affiliate of board member Thomas O. Hicks) on Oct 19, 2023.
- Loan interest at Base+2.50% or SOFR+3.50%; additional 2-3% fee to Hicks Holdings until maturity Oct 2026.
- Loan secured by substantially all assets of borrower and equity interests; related-party transaction.

## SEC filing metadata
- accession: 0001193125-23-259619
- form_type: 8-K
- ticker: BENF
- cik: 0001775734
- company_name: Beneficient
- filed_at: 2023-10-20T23:59:59+00:00
- event_type: earnings
- sentiment: negative
- materiality_score: 0.8
- calibrated_materiality_score: 0.8
- confidence: high
- sec_items: 1.01, 2.02, 2.03, 3.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1775734/000119312523259619/0001193125-23-259619-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1775734/000119312523259619/d559348d8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001193125-23-259619
- JSON: https://secwatch.observer/filing/0001193125-23-259619.json
- Plain text: https://secwatch.observer/filing/0001193125-23-259619.txt

## Key facts
- Debt Financings
  Beneficient incurred term loan of $25.0 million with HH-BDH LLC at Base Rate plus 2.50% or Adjusted Term SOFR plus 3.50% or Adjusted Daily Simple S maturing October 19, 2026.
  - Instrument: term loan
  - Principal: $25.0 million
  - Counterparty: HH-BDH LLC
  - Rate: Base Rate plus 2.50% or Adjusted Term SOFR plus 3.50% or Adjusted Daily Simple S
  - Maturity: October 19, 2026
  - Event: incurrence
  source text: The Credit Agreement provides for a three-year term loan in the aggregate principal amount of $25.0 million
  evidence_url: https://www.sec.gov/Archives/edgar/data/1775734/000119312523259619/0001193125-23-259619-index.htm
- Earnings Releases
  Beneficient reported preliminary financial results for the three months ended September 30, 2023.
  - Period: the three months ended September 30, 2023
  - Result: preliminary results
  source text: The Company is in the process of its quarter-end closing procedures for the three and six months ended September 30, 2023. While conducting its quarter-end closing procedures, the Company identified the following items that it preliminarily expects to record for the quarter ended September 30, 2023: (i) a significant impairment of goodwill resulting from an interim goodwill impairment analysis
  evidence_url: https://www.sec.gov/Archives/edgar/data/1775734/000119312523259619/0001193125-23-259619-index.htm
- Material Agreements
  Beneficient entered into Credit Agreement with HH-BDH LLC valued at $25.0 million (effective 2023-10-19).
  - Action: entry
  - Agreement: credit facility
  - Counterparty: HH-BDH LLC
  - Value: $25.0 million
  - Effective: 2023-10-19
  source text: On October 19, 2023, Beneficient Financing, L.L.C. (the “Borrower”), a wholly owned subsidiary of Beneficient, a Nevada corporation (the “Company”), and Beneficient Company Holdings, L.P., as guarantor (the “Guarantor” and together with the Borrower, the “Loan Parties”), entered into a Credit and Guaranty Agreement (the “Credit Agreement”) with HH-BDH LLC (the “Lender”), as administrative agent.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1775734/000119312523259619/0001193125-23-259619-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.