Legence Announces Extension and Repricing of Term Loan along with Increase and Extension of Revolving Credit Facility

Rhea-AI Summary

Legence (Nasdaq: LGN) amended its credit facilities on October 30, 2025, improving liquidity and extending maturities.

The $798 million Term Loan maturity was extended three years to December 16, 2031 and repriced to SOFR + 2.25%, a 25 basis point reduction. The company also amended its Revolving Credit Facility, increasing the commitment to $200 million from $90 million, extending maturity to September 22, 2030, and setting the revolver rate to SOFR + 2.25%.

The company said proceeds from its recent IPO were used to repay debt and that the amendments, together with strong cash flow, enhance financial flexibility to support growth and strategic priorities.

Positive

• Term loan maturity extended three years to Dec 16, 2031
• Term loan pricing reduced by 25 bps to SOFR + 2.25%
• Revolving credit increased to $200M from $90M
• Revolver maturity extended to Sep 22, 2030
• Revolver pricing aligned at SOFR + 2.25%

Negative

• None.

SAN JOSE, Calif., Oct. 30, 2025 (GLOBE NEWSWIRE) -- Legence Corp. (Nasdaq: LGN)  (“Legence” or the “Company”) today announced the amendment of its $798 million Term Loan Credit Facility, extending the maturity date by three years to December 16, 2031 and reducing the applicable interest rate to Secured Overnight Financing Rate (“SOFR”) plus 2.25%, representing a 25 basis point reduction in pricing. The Company also announced the amendment of its Revolving Credit Facility, increasing the aggregate commitment amount to $200 million from $90 million, extending the maturity date by approximately four years to September 22, 2030, and setting the applicable interest rate to SOFR plus 2.25%, in alignment with the Term Loan Credit Facility.

"We are grateful for the support of lenders,” said Stephen Butz, Executive Vice President and Chief Financial Officer of Legence. “Following our recent IPO, where net proceeds were used to repay debt, we further enhanced our financial flexibility by upsizing our revolving credit facility, and extending the maturities for both the term loan and revolver. These amendments, in conjunction with the strong cash flow generation from our business, position the Company well to drive future growth and execute on our strategic priorities.”

About Legence
Legence is a leading provider of engineering, consulting, installation, and maintenance services for mission-critical systems in buildings. The company specializes in designing, fabricating, and installing complex HVAC, process piping, and other mechanical, electrical and plumbing (MEP) systems—enhancing energy efficiency, reliability, and sustainability in new and existing facilities. Legence also delivers long-term performance through strategic upgrades and holistic solutions. Serving some of the world’s most technically demanding sectors, Legence counts over 60% of the Nasdaq-100 Index among its clients.

Forward Looking Statements
Certain statements contained in this press release constitute “forward-looking statements.” Words such as “anticipate,” “assume,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “future,” “will, ” “seek, ” “foreseeable,” the negative version of these words, or similar terms and phrases are intended to identify forward-looking statements. These statements are not historical facts but rather are based on the Company’s current expectations or beliefs concerning future events, and it is possible that the results described in this press release will not be achieved. Such statements are subject to risks, uncertainties and other factors, many of which are outside of the Company’s control, that could cause actual results to differ materially from the results discussed in the forward-looking statements, including those described in the Company’s filings with the Securities and Exchange Commission (“SEC”). Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, the Company does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for the Company to predict all such factors. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in the final prospectus filed with the SEC in connection with the Company’s initial public offering and in the Company’s subsequent filings with the SEC. You are cautioned not to place undue reliance on these forward-looking statements.

Contact
Media: media@wearelegence.com
Investor Relations: ir@wearelegence.com

FAQ

What changes did Legence (LGN) make to its term loan on October 30, 2025?

Legence extended the $798M term loan maturity by three years to Dec 16, 2031 and reduced pricing to SOFR + 2.25% (a 25 bp cut).

How much did Legence (LGN) increase its revolving credit facility and when does it mature?

The revolving credit commitment was increased to $200M from $90M, with a new maturity of Sep 22, 2030.

What interest rate does Legence (LGN) pay on its amended credit facilities?

Both the amended term loan and revolver carry an interest rate of SOFR + 2.25%.

Did Legence (LGN) use IPO proceeds related to these credit amendments?

Yes; the company said net proceeds from its recent IPO were used to repay debt and support the amendments.

What is the likely impact of Legence's (LGN) credit amendments on liquidity?

The amendments increase liquidity via a larger $200M revolver and extend maturities, which the company says enhances financial flexibility to support growth.