Montauk Renewables expands loan agreement to $10.69 million

Montauk Renewables , Inc. (NASDAQ:MNTK), a $445 million market cap company specializing in gas and other services combined, has amended its loan agreement, increasing the principal amount from $10.04 million to $10.69 million. This development occurred on March 5, 2025, as per a recent SEC filing. The company, which generated nearly $195 million in revenue over the last twelve months, has maintained a moderate debt level with a debt-to-equity ratio of 0.23.

The amendment, referred to as the Fifth Amended and Restated Loan Agreement and Secured Promissory Note (the "MNK Amendment"), was made with Montauk Holdings Proprietary Limited ("MNK"), formerly known as Montauk Holdings Limited. The MNK Amendment essentially carries forward the terms of the previous Fourth Loan Agreement and Secured Promissory Note (the "MNK Loan Agreement"), with the key change being the increase in the loan amount. According to InvestingPro, the company maintains strong liquidity with a current ratio of 2.04, indicating healthy ability to meet short-term obligations.

The original MNK Loan Agreement was established in line with Montauk’s obligations under the Transaction (JO:TCPJ) Implementation Agreement, which was part of the arrangements for Montauk’s initial public offering.

The details of the MNK Amendment were included in the SEC filing as Exhibit 10.1, which provides a comprehensive look at the terms of the agreement. This financial move is reported as part of Montauk’s regular disclosures to the Securities and Exchange Commission, ensuring transparency for investors and stakeholders.

Montauk’s business address is located at 5313 Campbells Run Road, Suite 200, Pittsburgh, Pennsylvania. The company, incorporated in Delaware, has maintained a consistent presence in the energy sector, focusing on renewable energy solutions.

The information in this article is based on a press release statement. Investors should note that Montauk Renewables is currently trading below its Fair Value according to InvestingPro analysis, with the company scheduled to report earnings on March 12, 2025. For deeper insights, access the comprehensive Pro Research Report available for MNTK, one of 1,400+ stocks covered in detail on InvestingPro.

In other recent news, Montauk Renewables, Inc. has made changes to its Board of Directors. The company announced the resignation of Mr. Michael Jacobson from the board, clarifying that his departure was not due to disagreements over operations, policies, or practices. Following Jacobson’s resignation, the board decided to reduce its number of directors from seven to six. To ensure continued compliance with governance standards, Montauk Renewables appointed Yunis Shaik, an existing director, to its Audit Committee. The company confirmed that Shaik meets the NASDAQ’s independence criteria for directors. These developments are being closely monitored by investors and stakeholders, as board composition is crucial for corporate oversight. Montauk Renewables has reiterated its commitment to maintaining strong governance practices in line with industry and regulatory standards.

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