Hovnanian enterprises, inc. and k. hovnanian enterprises, inc. enters into first amendment to the credit agreement
On november 27, 2019, hovnanian enterprises, inc. and k. hovnanian enterprises, inc. entered into the first amendment (the secured loan amendment") to the credit agreement, dated as of october 31, 2019, by and among k. hovnanian, the company, the other guarantors party thereto, wilmington trust, national association, as administrative agent, and the lenders party thereto. in addition, on november 27, 2019, the company and k. hovnanian also entered into the following supplemental indentures: (i) the first supplemental indenture (the 1.125 lien supplemental indenture") to the indenture, dated as of october 31, 2019, by and among k. hovnanian, the company, the other guarantors party thereto and wilmington trust, national association, as trustee and collateral agent, relating to k. hovnanian's 7.75% senior secured 1.125 lien notes due 2026; (ii) the first supplemental indenture (the 1.25 lien supplemental indenture") to the indenture, dated as of october 31, 2019, by and among k. hovnanian, the company, the other guarantors party thereto and wilmington trust, national association, as trustee and collateral agent, relating to k. hovnanian's 10.5% senior secured 1.25 lien notes due 2026; and (iii) the first supplemental indenture (the 1.5 lien supplemental indenture") to the indenture, dated as of october 31, 2019, by and among k. hovnanian, the company, the other guarantors party thereto and wilmington trust, national association, as trustee and collateral agent, relating to k. hovnanian's 11.25% senior secured 1.5 lien notes due 2026. the secured loan amendment, the 1.125 lien supplemental indenture, the 1.25 lien supplemental indenture and the 1.5 lien supplemental indenture provide for certain technical and clarifying amendments to the covenant limiting the prepayment of certain indebtedness to clarify that the covenant does not restrict payments of accrued and unpaid interest and to permit certain cash payments in respect of fractional indebtedness in connection with tender or exchange thereof to holders of such indebtedness.
