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Columbus McKinnon Announces Successful Completion of Term Loan B Repricing
CHARLOTTE, N.C.--(BUSINESS WIRE)-- Columbus McKinnon Corporation (Nasdaq: CMCO) (“Columbus McKinnon” or the “Company”), today announced that it successfully
About this update from Columbus Mckinnon Corporation
[{"type":"text","content":" CHARLOTTE, N.C.--(BUSINESS WIRE)--\nColumbus McKinnon Corporation (Nasdaq: CMCO) (“Columbus McKinnon” or the “Company”), today announced that it successfully completed the repricing of its $497.6 million senior secured Term Loan B (“TLB”). The repricing is net leverage neutral and reduces the interest rate margin applicable to the TLB by 25 basis points to SOFR plus 2.50% from SOFR plus 2.75% and, with respect to the TLB, removes the credit spread adjustment, which was previously 26 basis points for an interest period of three months. The Company estimates the TLB repricing will produce annualized cash interest expense savings of approximately $2.5 million. Fees and expenses related to the repricing were approximately $1.1 million.\n\n\n\"We are pleased to complete the repricing of our Term Loan B. With favorable market conditions and our improved financial results, we were able to meaningfully reduce our cost of debt,\" said Greg Rustowicz, Executive Vice President and Chief Financial Officer. “We have an efficient capital structure and remain focused on reducing our net leverage through a combination of debt reduction and Adjusted EBITDA growth. The repricing of our Term Loan B will result in lower interest expense in fiscal year 2025 and be accretive to earnings per share.”\n\n\nNo other material changes were made to the terms and conditions of the TLB. The maturity date for the TLB remains May 14, 2028.\n\n\nAbout Columbus McKinnon\n\n\nColumbus McKinnon is a leading worldwide designer, manufacturer and marketer of intelligent motion solutions that move the world forward and improve lives by efficiently and ergonomically moving, lifting, positioning, and securing materials. Key products include hoists, crane components, precision conveyor systems, rigging tools, light rail workstations, and digital power and motion control systems. The Company is focused on commercial and industrial applications that require the safety and quality provided by its superior design and engineering know-how. Comprehensive information on Columbus McKinnon is available at www.cmco.com.\n\n\nSafe Harbor Statement\n\n\nThis news release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are generally identified by the use of forward-looking terminology, i...