Terex Announces New $350 Million Securitization Facility and Re-Pricing of Euro Term Loans
June 01 2015 - 10:09AM
Business Wire
Terex Corporation (NYSE: TEX) today announced that it has closed
a new $350 million asset-backed securitization transaction.
The Company also announced it has completed a re-pricing of its
Euro term loan that is expected to reduce its cash interest costs
by approximately $1 million annually.
“We are pleased to announce the completion of our first
securitization facility,” said Kevin Bradley, Terex Chief Financial
Officer. “As we continue to grow and expand our Terex Financial
Services (TFS) business, achieving a lower cost of funding is very
important to our success. The additional liquidity afforded by this
facility provides us with a new source of lower cost funds that
will be deployed to help our customers secure equipment financing
at competitive rates. It also strengthens our capacity to grow
organically. The closing of our new securitization facility,
coupled with the re-pricing of our Euro term loans, marks another
milestone as we continue to improve our Company’s financial
efficiency.”
The commercial paper conduit facility will finance and is
secured by equipment loan and lease receivables originated by TFS
in the United States and Canada. The new facility will supplement
TFS’s ability to provide customer solutions for Terex equipment
financing, adding to the existing underwriting, warehousing and
syndication practices already in place.
About Terex
Terex Corporation is a lifting and material handling solutions
company reporting in five business segments: Aerial Work Platforms,
Construction, Cranes, Material Handling & Port Solutions and
Materials Processing. Terex manufactures a broad range of equipment
for use in various industries, including the construction,
infrastructure, manufacturing, shipping, transportation, refining,
energy, utility, quarrying and mining industries. Terex offers
financial products and services to assist in the acquisition of
Terex equipment through Terex Financial Services. Terex uses its
website (www.terex.com) and its Facebook page
(www.facebook.com/TerexCorporation) to make information available
to its investors and the market.
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version on businesswire.com: http://www.businesswire.com/news/home/20150601006058/en/
Terex CorporationTom Gelston, 203-222-5943Vice President,
Investor Relationsthomas.gelston@terex.com
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