Moderna Faces Default Risk as Ares Capital–Led Lenders Gain Power to Accelerate Debt and Seize Collateral
Moderna (MRNA) has disclosed a new risk, in the Debt & Financing category.
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Failure by Moderna to comply with covenants under its Ares Capital–led credit agreement could trigger an event of default, allowing lenders to halt further funding and accelerate all outstanding debt, including interest and fees. If Moderna could not promptly repay these amounts, secured lenders could enforce on collateral, and there is no assurance that the value of its assets would be sufficient to cover the indebtedness in full.
The average MRNA stock price target is $35.73, implying -28.35% downside potential.
To learn more about Moderna’s risk factors, click here.
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