Allegro MicroSystems refinances $285M term loan

Allegro MicroSystems, Inc. entered into a Fourth Amendment to its Credit Agreement, creating a new $285 million tranche of term loans maturing on October 31, 2030.

Rhea-AI Filing Summary

Allegro MicroSystems, Inc. entered into a Fourth Amendment to its Credit Agreement, creating a new $285 million tranche of term loans maturing on October 31, 2030. The company plans to use the proceeds to refinance all outstanding Amendment No. 3 term loans, pay related fees and expenses, and for general corporate purposes.

The new term loans will amortize at 0.00% per year and will bear interest, at Allegro’s option, at Term SOFR plus 1.75% or a base rate tied to the Federal funds rate, prime rate, or one-month Term SOFR plus 0.75%. The amendment keeps Morgan Stanley Senior Funding, Inc. as administrative and collateral agent and leaves the broader credit agreement framework in place.

Insights

Corporate finance and capital structure analyst

Allegro refinances $285M term debt into a 2030 facility.

Allegro MicroSystems has arranged a new $285 million term loan tranche under its existing credit agreement, with final maturity on October 31, 2030. Proceeds will refinance existing Amendment No. 3 term loans, cover fees and expenses, and support general corporate purposes, effectively extending the company’s debt maturity profile.

The new loans carry no scheduled amortization (0.00% per annum), which concentrates repayment at maturity but can support near- to medium-term cash flexibility. Interest is floating, based either on Term SOFR plus 1.75% or on a base rate derived from the Federal funds rate, the prime rate, or one‑month Term SOFR plus 0.75%, so future interest expense will track market rates.

Overall, this looks like a capital-structure maintenance step rather than a transformational change. The economic impact will depend on the comparative pricing versus the prior loans and how Allegro uses the portion earmarked for general corporate purposes, which may become clearer in subsequent financial disclosures.

8-K Event Classification

Item 1.01 — Entry into a Material Definitive Agreement

1 item

Item 1.01 Entry into a Material Definitive Agreement Business

The company signed a significant contract such as a merger agreement, credit facility, or major partnership.

FAQ

What new debt facility did Allegro MicroSystems (ALGM) arrange?

Allegro MicroSystems entered a Fourth Amendment to its Credit Agreement that provides a new $285 million tranche of term loans maturing on October 31, 2030.

How will Allegro MicroSystems use the new $285 million term loan proceeds?

The company plans to use the proceeds to refinance all outstanding Amendment No. 3 term loans, pay related fees and expenses, and for general corporate purposes.

What are the interest terms on Allegro MicroSystems’ new term loans?

The new loans will bear interest, at the company’s option, at Term SOFR plus 1.75% or a base rate equal to the highest of the Federal funds rate plus 0.50%, the prime rate, or one‑month Term SOFR plus 1.00%, plus 0.75%.

Does the new Allegro MicroSystems term loan require annual amortization?

No. The Refinanced Loans will amortize at a rate of 0.00% per annum, with repayment effectively due at maturity in 2030 unless prepaid or refinanced earlier.

Who is the administrative agent under Allegro MicroSystems’ amended Credit Agreement?

Morgan Stanley Senior Funding, Inc. remains the Administrative Agent and Collateral Agent under the Credit Agreement as amended by the Fourth Amendment.

When did the Allegro MicroSystems term loan refinancing take effect?

The Fourth Amendment, providing the new $285 million term loan tranche, is effective as of January 21, 2026.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Accepted by SEC EDGAR 01/21/2026 - 04:42 PM Learn about SEC filing dates

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 21, 2026

Allegro MicroSystems, Inc.

(Exact name of Registrant as Specified in Its Charter)

Delaware			001-39675	46-2405937
(State or Other Jurisdiction of Incorporation)			(Commission File Number)	(IRS Employer Identification No.)
955 Perimeter Road
Manchester, New Hampshire				03103
(Address of Principal Executive Offices)				(Zip Code)

Registrant’s Telephone Number, Including Area Code: (603) 626-2300

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock, par value $0.01 per share		ALGM		The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 1.01 Entry into a Material Definitive Agreement.

Term Loan Refinancing

On January 21, 2026, Allegro MicroSystems, Inc. (the “Company”) entered into an Amendment No. 4 (the “Fourth Amendment”) to the Credit Agreement, dated as of June 21, 2023 (as amended by Amendment No. 1, dated as of October 31, 2023, Amendment No. 2, dated as of August 6, 2024, Amendment No. 3, dated February 6, 2025, and as further amended, restated, supplemented or otherwise modified, refinanced or replaced from time to time, the “Credit Agreement”), by and among the Company, Allegro MicroSystems, LLC, the lending institutions from time to time party thereto and Morgan Stanley Senior Funding, Inc. as the Administrative Agent and the Collateral Agent. Capitalized terms used herein, but not otherwise defined herein, are as defined in the Credit Agreement as amended by the Fourth Amendment.

The Fourth Amendment provides for a new $285 million tranche of term loans maturing in 2030 (the “Refinanced Loans”), the proceeds of which will be used, in relevant part, to (i) refinance all outstanding Existing Amendment No. 3 Term Loans, (ii) pay fees and expenses in connection with the foregoing and (iii) for general corporate purposes. The Refinanced Loans will amortize at a rate of 0.00% per annum. The Refinanced Loans will bear interest, at the Company’s option, at a rate equal to (i) Term SOFR (as defined in the Credit Agreement) in effect from time to time plus 1.75% or (ii) the highest of (x) the Federal funds rate, as published by the Federal Reserve Bank of New York, plus 0.50%, (y) the prime lending rate or (z) the one-month Term SOFR plus 1.00% in effect from time to time plus 0.75%. The Refinanced Loans will mature on October 31, 2030.

The foregoing description of the Fourth Amendment is qualified in its entirety by reference to the complete text of the Fourth Amendment, which is filed as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated herein by reference.

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

The information set forth in Item 1.01 of this Current Report on Form 8-K is hereby incorporated by reference into this Item 2.03.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.		Description
10.1		Amendment No. 4 to the Credit Agreement by and among Allegro MicroSystems, Inc., Allegro MicroSystems, LLC, Morgan Stanley Senior Funding, Inc. and each lender from time to time party thereto, effective as of January 21, 2026.
104		Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

		ALLEGRO MICROSYSTEMS, INC.
Date: January 21, 2026		By:	/s/ Derek P. D’Antilio
			Derek P. D’Antilio
			Executive Vice President, Chief Financial Officer and Treasurer