Defense parts maker McNally lands new debt facility from Western Alliance
What's the deal? McNally IndustriesDealroom has a profile for this one. Try Dealroom →, a portfolio company of Susquehanna Growth EquityDealroom has a profile for this one. Try Dealroom →, has secured a new debt facility led by Western Alliance BankDealroom has a profile for this one. Try Dealroom →. Cascadia CapitalDealroom has a profile for this one. Try Dealroom → advised McNally as exclusive financial adviser. The proceeds will refinance the company's existing facility.
What does McNally do? Founded in 1942 and based in Grantsburg, Wisconsin, McNally designs and manufactures precision-machined components, complex assemblies, and hydro-mechanical systems for defense and industrial applications. Its capabilities span design, test, and reverse-engineering.
Why now? The refinancing gives McNally flexibility to keep executing its growth strategy and work through what Cascadia called a "record backlog." The deal closed just two weeks after exclusivity.
McNally serves a customer base with an average tenure of more than 20 years, including relationships of more than 40 years with several of its largest defense and government customers. It is embedded in supply chains anchored by contractual, program-of-record demand.
What they're saying: "Through a disciplined and competitive process, we attracted strong lender interest and delivered a financing solution that provides McNally Industries with the flexibility to continue executing on its growth strategy," said Tom Mills, head of capital markets at Cascadia Capital.
Kyle Squillario, managing director at Susquehanna Growth Equity, said it looks forward to "McNally's continued growth alongside the Western Alliance team."
The signal: Steady defense demand is drawing lenders to established suppliers with long contracts and visible backlogs. For sponsor-backed manufacturers like McNally, refinancing on competitive terms signals that credit markets remain open to businesses tied to mission-critical government programs.
Read more: cascadiacapital.com
Image credit: Generated with Gemini
