Dentsply Sirona gets lender relief on leverage limits to stay within debt covenants

Dentsply Sirona has persuaded its bank lenders and private noteholders to loosen the leverage limits in its debt agreements for the rest of 2026, a move the company said is meant to keep it in compliance with its covenants.

The company disclosed the changes in a regulatory filing after the market close Friday. It said the revised terms "are intended to allow the Company to maintain compliance with its debt covenants in all material respects."

On Oct. 8, Dentsply Sirona obtained consent from the required lenders under its May 2023 revolving credit facility, with JPMorgan Chase Bank as administrative agent, for a Third Amendment to the credit agreement dated as of Sept. 30, 2026. The same day it signed amendments to three note purchase agreements dating to 2015, 2016 and 2019.

The core change raises the maximum permitted Total Leverage Ratio and Senior Leverage Ratio for the fiscal quarters ending Sept. 30, 2026 and Dec. 31, 2026. Lenders also agreed to an additional addback to EBITDA for certain cash charges or expenses booked in those two quarters.

The relief comes with strings. Until the company delivers its compliance certificate for fiscal 2026, the amendments generally prohibit new liens and new subsidiary debt beyond what existed before Sept. 30, and they limit restricted payments, with certain carveouts.

Dentsply Sirona also agreed to add quarterly reporting on certain initiatives and their related costs and savings during a specified period. Pricing changes as well: the credit agreement adds a new pricing level for its applicable margin and facility fee, and the note amendments raise the incremental interest owed if the company's total leverage ratio meets or exceeds specified thresholds.

The filing did not disclose the new ratio levels in its summary; the amendments themselves were attached as exhibits.

By the numbers

• Quarters covered by higher leverage limits: Sept. 30, 2026 and Dec. 31, 2026
• Debt agreements amended: 1 revolving credit facility, 3 note purchase agreements
• Lender consent obtained: Oct. 8, 2026
• Amendments dated as of: Sept. 30, 2026
• Restrictions run until: delivery of the fiscal 2026 compliance certificate

Sources

1. DENTSPLY SIRONA Inc., Form 8-K (Items 1.01, 2.03, 9.01), filed October 9, 2026, accession 0000818479-26-000278

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