Terex Corporation announced the pricing of its private offering of $750 million in aggregate principal amount of 6.250% senior notes due 2032 at par. The proceeds from this offering, along with new term loan borrowings and cash on hand, are intended to finance the previously announced acquisition of Dover Corporation's Environmental Solutions Group (ESG). This financing is a critical step towards completing the largest acquisition in Terex's history.
Concurrently with the closing of the ESG acquisition, Terex expects to amend its existing credit agreement. This amendment will increase the size of its revolving credit facilities to $800 million from $600 million, extending their maturity to the fifth anniversary of the acquisition's close. Additionally, a new term loan facility of up to $1,250 million will be established, maturing on the seventh anniversary of the acquisition's close.
The private offering of the notes and the related guarantees is expected to close on October 8, 2024, subject to customary closing conditions. These financing activities are designed to provide Terex with the necessary capital and liquidity to integrate ESG and support its strategic growth initiatives, while managing its debt structure with a mix of secured and unsecured, and variable and fixed-rate debt.
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