Terex closes on $350 million securitization deal

After closing on a $350 million asset-backed securitization last month, Terex Corporation said it expects to reduce its cash interest costs by approximately $1 million a year.

“We are pleased to announce the completion of our first securitization facility,” Kevin Bradley, chief financial officer for Terex said. “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."

He added that Terex plans to use the annual interest savings to help customers with financing.

"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," Bradley said. "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 new facility also will supplement TFS’ ability to provide customer solutions for Terex equipment financing, adding to the existing underwriting, and warehousing and syndication practices already in place, according to Terex officials.

The Westport, Connecticut-based company provides lifting and material handling solutions, specializing in aerial work platforms, construction, cranes, material handling, and port solutions and materials processing.

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Terex Corporation 200 Nyala Farm Road Westport, CT 06880 USA

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