ESCO Closes Megger Deal, Secures $1.5 Billion Credit Facilities

ESCO Technologies has finalized its acquisition of Megger by closing the deal and setting up post-acquisition arrangements. The company has entered into a Shareholder Agreement with TBG, which grants TBG a board designee once ownership thresholds are met. This agreement also includes a 12-month lock-up period with partial release at six months, as well as standstill, voting, consent, registration, and other rights.

Additionally, ESCO has secured $1.5 billion in new senior secured credit facilities led by JPMorgan to finance the Megger acquisition and refinance existing debt. The new facilities are effective on October 1, 2026, and include a $500 million revolver, a $500 million Term Loan A, and a $500 million Term Loan B.

The company has also terminated its 2023 credit agreement early, with the new facilities taking effect on October 1, 2026. This move is expected to provide ESCO with significant financial flexibility to execute its growth strategy.