Columbus McKinnon Corporation entered into a stock purchase agreement to acquire Garvey Corporation from William J. Garvey, The Mark Garvey Residuary Trust and Thomas G. Garvey III for $74 million.
November 03, 2021
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Columbus McKinnon Corporation (NasdaqGS:CMCO) entered into a stock purchase agreement to acquire Garvey Corporation from William J. Garvey, The Mark Garvey Residuary Trust and Thomas G. Garvey III for $74 million on November 3, 2021. The purchase price is subject to adjustment, for net working capital, cash and indebtedness of Garvey at closing and a $2 million escrowed portion of the purchase price that only becomes payable, in whole or in part, to the Sellers if the EBITDA target set forth in the Purchase Agreement for the twelve-month period commencing on the month immediately following closing is achieved and a specific current executive of Garvey remains employed with Garvey until at least March 31, 2023.?Columbus McKinnon Corporation plans on financing the acquisition by borrowing $75 million utilizing the accordion option under its existing Term Loan B. Garvey approximately $30 million in revenue and $9 million in adjusted EBITDA for the trailing twelve months ended September 30, 2021. The transaction is subject to due diligence. The transaction is expected to close before the end of 2021. Gust P. Pullman of Barclay Damon, LLP acted as a legal advisor to Columbus McKinnon Corporation. Michael A. Kulzer of Kulzer & DiPadova, P.A. acted as legal advisor to William J. Garvey, The Mark Garvey Residuary Trust and Thomas G. Garvey III.
Columbus McKinnon Corporation designs, manufactures and distributes a broad range of material-handling products for various applications. The Company's products include a wide variety of electric, air-powered, lever, and hand hoists, hoist trolleys, explosion-protected hoists, winches, and aluminum work stations; alloy and carbon steel chains; forged attachments, such as hooks, shackles, textile slings, clamps, and load binders; mechanical and electromechanical actuators and rotary unions; below-the-hook special purpose lifters; and power and motion control systems, such as alternate current (AC) and direct current (DC) drive systems, radio remote controls, push button pendant stations, brakes, and collision avoidance and power delivery subsystems. The Companyâs brands include Budgit, Chester, CM, Coffing, Little Mule, Pfaff, Shaw-Box, STAHL, Magnetek, Herc-Alloy, and Yale. The Company is focused on commercial and industrial applications.
Columbus McKinnon Corporation entered into a stock purchase agreement to acquire Garvey Corporation from William J. Garvey, The Mark Garvey Residuary Trust and Thomas G. Garvey III for $74 million.
COLUMBUS MCKINNON CORPORATION 
