Global Water boosts credit line to $30M to 2028
Rhea-AI Filing Summary
Global Water Resources, Inc. (GWRS) amended its revolving credit facility with The Northern Trust Company through an Eighth Modification Agreement. The amendment extends the facility’s scheduled maturity from May 18, 2028 to August 30, 2028 and increases the maximum principal available under the revolving line of credit from $20.0 million to $30.0 million. The amendment also provides that if Global Water Resources or any affiliate completes capital market activity after the agreement date, including raising funds via an equity or debt offering, the maximum principal available will instead be $25.0 million. The agreement is described as a material definitive agreement and is filed as an exhibit.
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8-K Event Classification
3 items: 1.01, 2.03, 9.01
3 items
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.
Item 2.03
Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement
Financial
The company incurred a new significant debt or off-balance-sheet obligation.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Prior maximum principal amount: $20.0 million
New maximum principal amount: $30.0 million
Maximum principal after capital market activity: $25.0 million
+3 more
6 metrics
Prior maximum principal amount
$20.0 million
Maximum principal available under revolving line of credit before Eighth Modification Agreement
New maximum principal amount
$30.0 million
Maximum principal available under revolving line of credit after Eighth Modification Agreement
Maximum principal after capital market activity
$25.0 million
Borrowing capacity if GWRS or affiliates complete post-agreement capital market activity
Prior maturity date
May 18, 2028
Scheduled maturity date of revolving line of credit before amendment
New maturity date
August 30, 2028
Scheduled maturity date of revolving line of credit after Eighth Modification Agreement
Agreement date
August 28, 2026
Date of Eighth Modification Agreement between GWRS and The Northern Trust Company
Key Terms
revolving line of credit, material definitive agreement, capital market activity, principal amount
4 terms
revolving line of credit financial
"for a revolving line of credit that currently provides the Company up to a maximum"
A revolving line of credit is a flexible borrowing arrangement that allows a person or business to access funds up to a set limit whenever needed, much like a prepaid card. As money is repaid, it becomes available to borrow again, making it a convenient way to manage cash flow or cover ongoing expenses. Investors pay attention to it because it reflects a company’s ability to access quick funds and manage financial flexibility.
material definitive agreement regulatory
"Item 1.01 Entry into a Material Definitive Agreement."
A material definitive agreement is a legally binding contract that creates major, long‑term obligations or rights for a company, such as loans, asset sales, mergers, or supplier deals. Think of it like a mortgage or lease for a business: it can change future cash flow, risk and control, so investors watch these agreements closely because they can materially affect a company’s value, financial health and stock price.
capital market activity financial
"if the Company (or any of its affiliates or subsidiaries) completes any capital market activity"
principal amount financial
"up to a maximum of $20.0 million principal amount for borrowing"
The principal amount is the original sum of money that is borrowed, lent, or invested before any interest, fees, or returns are added. It matters to investors because interest charges, scheduled repayments, and total return are calculated from that base amount — think of it as the price tag on which future costs or gains are built. Knowing the principal helps you compare deals and predict cash flows and risk.
FAQ
What change did GWRS make to its credit facility with Northern Trust?
Global Water Resources, Inc. (GWRS) entered into an Eighth Modification Agreement with The Northern Trust Company to extend the revolving credit facility’s maturity to August 30, 2028 and increase the maximum principal available from $20.0 million to $30.0 million, subject to a capital markets-related adjustment.
How much can GWRS borrow under the amended revolving line of credit?
Under the amended agreement, Global Water Resources, Inc. can borrow up to $30.0 million under its revolving line of credit. However, if the company or its affiliates complete capital market activity after the amendment date, the maximum borrowing capacity will be $25.0 million.
When does the GWRS revolving credit facility now mature?
The revolving credit facility for Global Water Resources, Inc. now has a scheduled maturity date of August 30, 2028, extended from a prior maturity date of May 18, 2028 under the Eighth Modification Agreement with The Northern Trust Company.
What triggers the lower $25.0 million borrowing limit for GWRS?
The maximum borrowing capacity is reduced to $25.0 million if Global Water Resources, Inc. or any of its affiliates or subsidiaries completes capital market activity after the Eighth Modification Agreement date, including raising funds through an equity or debt offering.
What type of agreement did GWRS disclose in this 8-K filing?
Global Water Resources, Inc. disclosed entry into a material definitive agreement, specifically the Eighth Modification Agreement amending its Loan Agreement and revolving line of credit with The Northern Trust Company, which changes both the maturity date and the maximum borrowing amount.
AI-generated analysis. How Rhea-AI works. Not financial advice.
