Columbus McKinnon To Divest U.S. Power Chain Hoist, Chain Production Business In Damascus, Virginia And Lexington, Tennessee Sites To Pacific Avenue Capital Partners Affiliate For $210M

Columbus McKinnon Corporation (NASDAQ:CMCO) ("Columbus McKinnon" or the "Company"), a leading designer, manufacturer and marketer of intelligent motion solutions for material handling, today announced today that it has entered into a definitive agreement to sell its U.S. power chain hoist and chain manufacturing operations based out of its Damascus, Virginia and Lexington, Tennessee facilities (the "Divestiture") to an affiliate of Pacific Avenue Capital Partners, LLC ("Pacific Avenue") for $210 million with a potential earn out of $25 million. The transaction is expected to close within the first quarter of calendar year 2026.

Following the close of the Divestiture, cash proceeds of approximately $160 million, excluding approximately $50 million of expected taxes and transaction-related costs, are expected to be used to reduce the debt incurred to finance the previously announced acquisition (the "Acquisition") of Kito Crosby Limited ("Kito Crosby"). Additional earn out proceeds from the Divestiture, if any, are expected to be used to further reduce debt incurred to finance the Acquisition in line with the Company's primary capital allocation priority of debt reduction and deleveraging.