Douglas Dynamics refinancing includes $100 million ABL revolver

By Wendy Van Sickle

Columbus, Ohio, June 8 – Douglas Dynamics Inc. completed a refinancing that included a $100 million three-year senior secured ABL revolving credit facility in addition to a previously announced $275 million six-year senior secured term loan B, according to a news release Monday.

The new revolver is initially priced at Libor plus 200 basis points with a 1% Libor floor. The applicable margin may be adjusted from 175 bps to 225 bps, depending on the company’s average daily excess availability under the facility.

The revolver is subject to a borrowing base and has restrictive covenants similar to those of the company’s previous revolver.

J.P. Morgan Securities LLC was the lead bank on both credit facilities.

As previously reported, the new term loan B is priced at Libor plus 375 bps, tightened from Libor plus 400 bps. It also has a 1% Libor floor.

Proceeds will be used for general corporate purposes, including repaying the entirety of the company’s prior $226 million term loan B that was scheduled to mature on Dec. 31 2021.

Douglas Dynamics is a Milwaukee-based manufacturer of vehicle attachments and equipment.

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