Columbus McKinnon Announces Syndication and Pricing of Senior Secured Term Loan B Facility

Rhea-AI Summary

Columbus McKinnon (Nasdaq: CMCO) announced a syndicated and priced $1,650.0 million senior secured Term Loan B due 2033 issued at 99.0% and bearing interest at SOFR + 3.50%. Closing is expected to occur concurrently with the company’s pending acquisition of Kito Crosby, subject to customary closing conditions. The company intends to use net proceeds, together with a $900.0 million private senior notes offering, sale of Series A convertible preferred shares to CD&R, and a new $500.0 million revolving facility, to finance the acquisition, repay Kito Crosby indebtedness, refinance existing debt, and pay related fees and expenses.

Positive

• Secured Term Loan B of $1.65 billion due 2033
• Loan priced at 99.0% of face value
• Interest at SOFR + 3.50%, providing priced financing
• Combined financing package aligns with planned acquisition funding

Negative

• Adds $1.65 billion of secured debt to capital structure
• Increases interest expense risk due to floating SOFR-based rate
• Closing is contingent on consummation of the pending acquisition

News Market Reaction – CMCO

-1.41%

1 alert

-1.41% News Effect

On the day this news was published, CMCO declined 1.41%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Term Loan B size: $1,650.0 million Issue price: 99.0% of face value Interest spread: SOFR + 3.50% +2 more

5 metrics

Term Loan B size $1,650.0 million Aggregate principal amount of senior secured term loan B due 2033

Issue price 99.0% of face value Pricing of loans under the new Facility

Interest spread SOFR + 3.50% Interest rate on the term loan B Facility

Senior notes size $900.0 million Aggregate principal amount of senior secured notes due 2033

Revolver commitments $500.0 million Aggregate commitments under new revolving facility

Market Reality Check

Price: $19.19 Vol: Volume 370,246 vs 20-day ...

normal vol

$19.19 Last Close

Volume Volume 370,246 vs 20-day average 269,445 (relative 1.37x) indicates elevated interest ahead of the financing/acquisition close. normal

Technical Shares at $21.26 are trading above the 200-day MA of $15.75, mid-range between the $11.78 52-week low and $37.81 high.

Peers on Argus

CMCO gained 1.77% while peers were mixed: WNC (+1.57%), MTW (+0.15%), TWI (‑0.65...

CMCO gained 1.77% while peers were mixed: WNC (+1.57%), MTW (+0.15%), TWI (‑0.65%), HY (‑0.06%), ASTE (‑1.13%). The move appears company-specific rather than sector-driven.

Historical Context

5 past events · Latest: Jan 20 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 20	Debt offering	Neutral	-3.8%	Announced $1.225B senior secured notes to fund Kito Crosby acquisition.
Jan 14	Prelim earnings	Positive	+2.9%	Released estimated Q3 FY results with solid sales, EBITDA, and EPS ranges.
Jan 14	Acquisition/divestiture	Positive	+2.9%	Detailed Kito Crosby acquisition synergies and sale of U.S. power chain hoist unit.
Nov 05	Conference appearance	Neutral	-0.9%	Announced participation in the 2025 Baird Global Industrial Conference.
Oct 30	Earnings/guidance	Positive	+15.3%	Reported Q2 FY26 growth, debt repayment, and reaffirmed fiscal 2026 guidance.

Pattern Detected

Recent fundamental and strategic updates, particularly earnings, acquisition, and divestiture news, have generally seen positive price alignment, while large financing actions drew a modest negative reaction.

Recent Company History

Over the last few months, Columbus McKinnon has combined steady operating performance with major portfolio moves. Q2 FY26 results on Oct 30, 2025 showed higher sales and reaffirmed guidance, prompting a strong positive reaction. On Jan 14, 2026, the company detailed the planned Kito Crosby acquisition, a significant divestiture, and preliminary Q3 figures, again met with gains. However, the Jan 20, 2026 senior notes offering to fund the acquisition coincided with a negative move, suggesting investors scrutinize leverage and financing structure, which is directly relevant to today’s term loan B announcement.

Market Pulse Summary

This announcement details the successful syndication and pricing of a $1,650.0M senior secured term ...

Analysis

This announcement details the successful syndication and pricing of a $1,650.0M senior secured term loan B, alongside previously disclosed $900.0M notes and a $500.0M revolver, to fund the Kito Crosby acquisition and refinance debt. It builds on earlier updates outlining expected synergies and portfolio reshaping. Investors may monitor closing of the acquisition, overall leverage levels, and future cash flow trends to assess how this financing package affects balance-sheet flexibility and long-term strategy execution.

Key Terms

senior secured term loan b, sofr, senior secured notes, series a cumulative convertible participating preferred shares, +1 more

5 terms

senior secured term loan b financial

"syndicated and priced a new $1,650.0 million aggregate principal amount senior secured term loan B"

A senior secured Term Loan B is a large, long-term loan that a company takes and backs with specific assets as collateral, and which ranks ahead of most other debt if the company cannot pay. Think of it like a mortgage held by a group of institutional lenders rather than a single bank: it gives those lenders stronger claims to repayment but usually carries higher interest than top-priority bank debt. Investors watch this loan because its size, cost and priority affect a company’s financial risk, cash available for dividends or growth, and how equity would be treated if trouble arises.

sofr financial

"bear interest at SOFR plus 3.50%, with closing expected concurrent with"

The Secured Overnight Financing Rate (SOFR) is a market benchmark that measures the cost of borrowing cash overnight using U.S. Treasury securities as collateral. Investors watch SOFR because it acts like a speedometer for short-term interest costs—affecting loan rates, bond yields and the pricing of interest-rate contracts—so movements change borrowing expenses, cash returns and the value of interest-sensitive investments.

senior secured notes financial

"private offering of $900.0 million in aggregate principal amount of senior secured notes due 2033"

Senior secured notes are loans a company sells to investors that are backed by specific assets and given first priority for repayment if the company defaults. Because they have a claim on collateral and are paid before other debts, they usually offer lower risk and correspondingly lower interest than unsecured debt; investors use them to judge how safe repayment and recovery of principal might be, like holding a mortgage instead of an unsecured credit card balance.

series a cumulative convertible participating preferred shares financial

"the sale of Series A Cumulative Convertible Participating Preferred Shares of the Company to"

A Series A cumulative convertible participating preferred share is a class of preferred stock that combines several protections and upside rights: unpaid dividends build up over time (cumulative), the shares can be switched into common stock (convertible), and holders get a priority payout plus a share of leftover proceeds alongside common shareholders if the company is sold or wound down (participating). For investors this means a mix of downside protection and potential upside, plus implications for dilution and returns similar to being both a creditor and an owner.

revolving facility financial

"and (iii) new revolving facility with aggregate commitments of $500.0 million, to finance"

A revolving facility is a bank loan that works like a company credit card: the borrower can draw funds, repay them, and draw again up to a set limit during the agreement period. It matters to investors because it provides short-term cash flexibility for operations, investments, or emergencies, and the cost or availability of that credit can affect a company’s liquidity, interest expenses, and financial stability.

AI-generated analysis. Not financial advice.

CHARLOTTE, N.C., Jan. 22, 2026 /PRNewswire/ -- Columbus McKinnon Corporation (Nasdaq: CMCO) ("Columbus McKinnon" or the "Company"), a leading designer, manufacturer and marketer of intelligent motion solutions for material handling, announced today that it has successfully syndicated and priced a new $1,650.0 million aggregate principal amount senior secured term loan B due 2033 (the "Facility"). The loans under the Facility will be issued at a price equal to 99.0% of their face value and bear interest at SOFR plus 3.50%, with closing expected concurrent with and subject to the consummation of the Company's previously announced pending acquisition (the "Acquisition") of Kito Crosby Limited ("Kito Crosby") subject to the satisfaction of customary closing conditions.

Columbus McKinnon intends to use the net proceeds from the Facility, together with the proceeds from the Company's previously announced (i) private offering of $900.0 million in aggregate principal amount of senior secured notes due 2033, (ii) the sale of Series A Cumulative Convertible Participating Preferred Shares of the Company to CD&R XII Keystone Holdings, L.P., and (iii) new revolving facility with aggregate commitments of $500.0 million, to finance the Acquisition (including the repayment of Kito Crosby's existing indebtedness), to refinance certain of the Company's existing indebtedness and to pay any related fees and expenses.

This press release does not constitute an offer to sell, or the solicitation of any offer to buy, any securities, nor shall there be any sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification of such securities under the securities laws of that jurisdiction.

About Columbus McKinnon

Columbus 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.

Safe Harbor Statement

This 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, including the terms "anticipate," "believe," "continue," "could," "estimate," "expect," "illustrative," "intend," "likely," "may," "opportunity," "plan," "possible," "potential," "predict," "project," "shall," "should," "target," "will," "would" and, in each case, their negative or other various or comparable terminology. All statements other than statements of historical facts contained in this document are forward looking statements. Forward-looking statements are not based on historical facts, but instead represent our current expectations and assumptions regarding our business, the economy and other future conditions, and involve known and unknown risks, uncertainties and other factors that could cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. It is not possible to predict or identify all such risks. These risks include, but are not limited to, the risk factors that are described under the section titled "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025, our Quarterly Report on Form 10-Q for the quarter ended September 30, 2025 as well as in our other filings with the Securities and Exchange Commission, which are available on its website at www.sec.gov. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Forward-looking statements speak only as of the date they are made. Columbus McKinnon undertakes no duty to update publicly any such forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required by applicable law, regulation or other competent legal authority.

Contacts:

Kristine Moser 
VP IR and Treasurer 
Columbus McKinnon Corporation 
704-322-2488
kristy.moser@cmco.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/columbus-mckinnon-announces-syndication-and-pricing-of-senior-secured-term-loan-b-facility-302668656.html

SOURCE Columbus McKinnon Corporation

FAQ

What did Columbus McKinnon (CMCO) announce on January 23, 2026 about debt financing?

Columbus McKinnon priced a $1,650.0 million senior secured Term Loan B due 2033 at 99.0% with interest at SOFR + 3.50%.

How will the CMCO Term Loan B be used in the Kito Crosby acquisition?

Net proceeds will help finance the acquisition of Kito Crosby, repay Kito Crosby's indebtedness, refinance existing debt, and pay related fees and expenses.

What other financings accompany the CMCO $1.65B Term Loan B for the acquisition?

The company also announced a $900.0 million private senior notes offering, sale of Series A convertible preferred shares to CD&R, and a $500.0 million revolving facility.

When will the CMCO Term Loan B closing occur and are there conditions?

Closing is expected to occur concurrently with and is subject to the consummation of the pending acquisition and customary closing conditions.

What is the interest pricing on Columbus McKinnon's new Term Loan B (CMCO)?

The Term Loan B carries interest at SOFR + 3.50% and was issued at 99.0% of face value.