... (MATW) is offering new second-lien notes due 2027 to repay its existing $300 million senior unsecured notes due 2025. - The successful completion of the bond offering will mitigate the near-term refinancing risk, and we continue to expect S&P Global Ratings-adjusted debt to EBITDA to generally be maintained in the 4x-5x range. - Operating results are underperforming our expectations primarily due to cyclical weakness in demand in warehouse automation and slower-than-expected customer readiness in energy storage, pushing expected adjusted debt to EBITDA above 5x in 2024 before improving in 2025. - We assigned a 'B+' issue-level rating to the proposed second-lien notes. The recovery rating is '5' (rounded recovery estimate of 15%). - We affirmed our '##-' long-term issuer credit rating on MATW. The outlook remains negative. - The negative outlook reflects risk to our base-case forecast, particularly in 2025, due to difficult to predict end markets,...
