Douglas Dynamics completes $64.2M sale-leaseback transaction with TPG

Douglas Dynamics (PLOW) announced completion of a sale-leaseback transaction with TPG Angelo Gordon, a diversified credit and real estate investing platform within TPG (TPG). The transaction involves the Company’s facilities located in: Huntley, Illinois; Manchester, Iowa; Rockland, Maine; Madison Heights, Michigan; Milwaukee, Wisconsin The transaction comprises seven facilities and approximately 780,000 square feet of manufacturing and upfitting space and is valued at $64.2M. Net of expenses and taxes, the Company is expected to receive net proceeds of approximately $50M. Under the terms of the transaction, the initial lease for the assets is 15 years, with two 10-year options to renew. The facilities serve as critical elements of the Company’s operations, and the Company expects that they will continue to operate for many years to come, ensuring continuity and supporting long-term growth plans. The Company intends to use the net proceeds from the transaction to pay down its term loan debt and for other corporate purposes.