Ivanti Software, the IT management platform backed by Clearlake Capital Group, has reached an agreement with a key group of lenders to secure approximately $350m in new financing and extend the maturities on its existing debt obligations, according to a report by Bloomberg citing sources familiar with the matter.
The deal, which is expected to be formally presented to the broader lender base in the coming weeks, will offer all existing lenders the opportunity to participate without requiring a reduction in the face value of their holdings, the sources said. In addition, lenders will benefit from enhanced protective covenants under the terms of the new debt package.
The financing comes against a backdrop of heightened market volatility, as US credit markets grapple with the impact of global trade tensions. While financing conditions have tightened, with spreads widening in both the leveraged loan and high-yield bond markets, selective transactions continue to move forward.
Ivanti carries approximately $2.8bn in total debt, with its $1.7bn term loan due 2027 recently quoted around 70 cents on the dollar, according to Bloomberg data. The company has faced operational challenges amid its strategic shift from a licensing-based revenue model to subscriptions, resulting in sustained earnings pressure.
S&P Global Ratings downgraded Ivanti to CCC+ in March, citing elevated default risk and potential restructuring concerns.
