Teva Pharmaceutical Industries announced amendments to its USD and JPY-denominated term loan and revolving credit facilities, providing Teva greater flexibility in its financial leverage ratio covenants.

The amended leverage ratio covenants in the credit agreements permit a maximum leverage ratio of 5.0 times through and including December 31, 2018, gradually declining to 3.5 times by December 31, 2020.

Michael McClellan, interim CFO of Teva, stated, “We are pleased to announce the amendments to our credit facilities showing a strong support from our lending group. These amendments are an important part of Teva’s plan to obtain longer term flexibility with our credit facilities and manage Teva’s capital structure.”

According to a related 6-K filing, Citibank served as administrative agent for the facilities in 2015.

As of June 30, 2017, the aggregate principal amount collectively outstanding under the USD term loan facility was $5.0 billion, the aggregate principal amount outstanding under the JPY term loan facilities was $1.4 billion and the aggregate committed principal amount (drawn and available) under the USD revolving credit facility was $4.5 billion. The amendments received the support of lenders holding approximately 98% of the aggregate loans and undrawn commitments across the five credit facilities.