WhiteHorse Finance, Inc. Announces Significant Reduction in Financing Commitments Through Twelfth Amendment to Loan Agreement

Key Highlights for Investors:

• WhiteHorse Finance, Inc. (NASDAQ: WHF) has entered into a Twelfth Amendment to its Fifth Amended and Restated Loan Agreement, resulting in a major reduction of its Financing Commitments from \$100 million to \$50 million effective March 10, 2026.
• The amendment was executed by WhiteHorse Finance Credit I, LLC (a wholly owned subsidiary of WhiteHorse Finance, Inc.), JPMorgan Chase Bank, N.A. (as lender and administrative agent), Citibank, N.A. (as collateral agent and securities intermediary), WhiteHorse Finance, Inc. (as portfolio manager), and Virtus Group LP (as collateral administrator).
• The lenders and administrative agent have waived the 1.00% premium that would otherwise be due for the reduction in financing commitments, providing a direct cost benefit to the company.
• The amendment does not alter the company’s obligations under the loan agreement except as specifically modified, and all other terms remain in full force and effect.

Details of the Amendment

On March 10, 2026, WhiteHorse Finance Credit I, LLC entered into the Twelfth Amendment to the Fifth Amended and Restated Loan Agreement (originally dated April 28, 2021, and subsequently amended multiple times). The key modification under this amendment is the reduction of the borrowing facility’s total commitment—from \$100 million to \$50 million.

This move comes after a series of amendments since the original agreement, reflecting ongoing adjustments to the company’s financing strategy. The current change is particularly notable in its size and timing, as it effectively halves the company’s available financing under this facility.

Waiver of Premium

Under the previous terms of the loan agreement, a 1.00% premium would have been due to the lenders upon such a reduction in commitments. However, as part of the Twelfth Amendment, this premium has been expressly waived, which eliminates an immediate cash outflow for the company and is financially advantageous.

Potential Impact on Shareholders and Share Price

• This reduction in financing commitment is a material event and may be interpreted by the market in several ways:
  • Liquidity and Financial Strategy: The halving of available financing may signal a strategic shift toward a less leveraged balance sheet, possibly reflecting either lower anticipated capital needs or a more conservative risk posture.
  • Growth Prospects: If the company’s investment pipeline or lending activities are expected to shrink, the reduced facility could indicate more modest growth expectations, which may affect investor sentiment.
  • Cost Savings: The waiver of the 1.00% premium and potentially lower financing costs may have a positive short-term financial impact.
• Shareholders should closely monitor management’s communications and forward guidance, as this reduction could have important implications for WhiteHorse Finance’s revenue generation, portfolio growth, and overall financial flexibility.

Other Information

• The amendment was executed by authorized officers, including Joyson C. Thomas, Chief Financial Officer of WhiteHorse Finance, Inc.
• The full text of the Twelfth Amendment is available as an exhibit to the company’s Form 8-K.

Forward-Looking Statements

Investors should note that this report contains forward-looking statements, which are subject to risks and uncertainties. Actual results may differ materially from those expressed or implied by such statements.

Disclaimer: The information provided above is a summary based on the company’s SEC filings and public disclosures. This is not investment advice. Investors should review the full filing and consult their own advisors before making investment decisions. WhiteHorse Finance, Inc. undertakes no obligation to update forward-looking statements contained herein.

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