Twin Disc lands $90M refinancing from Bank of Montreal and JPMorgan

What's the deal? Twin DiscDealroom has a profile for this one. Try Dealroom → (NASDAQ: TWIN) has secured a $90 million credit facility from Bank of MontrealDealroom has a profile for this one. Try Dealroom → and JPMorganDealroom has a profile for this one. Try Dealroom → Chase Bank, refinancing a prior agreement dated February 14, 2025. The company entered the new credit agreement on June 30, 2026.

The details: The package includes a $30 million term loan and a $60 million revolving facility, both maturing June 30, 2031. The revolver carries a $5 million sublimit for swing loans and a $4 million sublimit for letters of credit.

The terms: Interest rates are tied to SOFR, the EURIBOR rate, or the Canadian Overnight Repo Rate Average, with margins ranging from 1.50% to 3.00% depending on the company's total funded debt to EBITDA ratio. Quarterly principal installments start at $375,000 and rise to $750,000 by September 2030.

Why now? The deal extends Twin Disc's maturities and expands its working capital headroom. Industrial manufacturers have leaned on bank-led credit amendments and larger revolvers to preserve flexibility amid uneven demand and higher borrowing costs.

The fine print: Borrowings are secured by substantially all personal property of Twin Disc and guarantor Kobelt ManufacturingDealroom has a profile for this one. Try Dealroom →, including receivables, inventory, machinery, equipment, and intellectual property. The company also pledged 65% of its equity in certain foreign subsidiaries.

The signal: This is a routine but sizable balance-sheet transaction rather than a distressed rescue. The conventional asset-backed terms suggest the lenders viewed Twin Disc as a standard mid-market industrial borrower, giving it longer runway without signaling a special situation.

Read more: StreetInsider

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