07:51 AM EDT, 09/03/2024 (MT Newswires) -- Corus (CJR-B.TO) on Tuesday amended its credit agreement with its bank group. Per the amendment, the leverage ratio for covenant purposes will remain at 4.75x through to October 15, 2024, with the company having the ability to request advances under the revolving facility to a certain limit. Additionally, there is a requirement to use excess cash to repay outstanding balances on the revolving facility and other terms related to the use of proceeds on asset disposals.

National Bank -- which has an Underperform rating and C$0.01 Target on the stock -- recalled that the covenant leverage ratio was set to drop to 4.25x to begin Fiscal 2025. National's forecast points to a Debt to EBITDA ratio of 5.5x.

National's target reflects a notional value of $0.01/share, as forecasted NAV values have turned negative.