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Precisely Software Struggles to Refinance Debt in Private Credit Market
Precisely Software has struggled to refinance its $3.3 billion debt in the private credit market, according to sources.
Precisely’s sponsors, Clearlake Capital and TA Associates, were in discussions with direct lenders to refinance its capital structure, Bloomberg Law reported on Sept. 16, 2025.
A source noted that the company continues to evaluate refinancing alternatives.
The company’s liquidity at the end of the first quarter of 2026 stood at $263 million, which included a $200 million undrawn revolving credit facility and $63 million of cash, the sources added.
The company is one of the software businesses that experienced a massive selloff at the beginning of this year over fears of AI replacement in the future. Precisely’s debt-funded acquisitions in the past have kept its financial leverage high, the sources said.
Indications for its $2.25 billion term loan due 2028 have slid to 76.9/78.8 today from 91/92.7 in January, according to IHS Markit. The loan is rated B-/B2 by S&P Global Ratings and Moody’s Ratings, respectively. Meanwhile, indications for its SOFR+725 bps second lien term loan due April 2029 are 68.8/72.8 today, down from 91.9/94.3 in early January. The second lien is rated CCC/Caa2 by S&P and Moody’s, respectively.
Octus has analyzed the company’s first-quarter 2026 earnings, available to lenders of the company, and Americas Covenants by Octus has prepared an LME Risk Brief on Precisely’s first lien credit agreement.
Clearlake and TA Associates acquired Precisely in 2021, in the era of cheap debt and a fast-growing software sector. The annual revenue growth in the software-as-a-service sector shrank to 13% in 2024 from 21% a year ago.
Precisely and TA Associates did not respond to requests for comment. Clearlake Capital declined to comment.
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