Allison Transmission Prices Offering of $500 Million Aggregate Principal Amount of 5.875% Senior Notes Due 2033 and $1,200 Million Senior Secured Incremental Term Loan Facility

INDIANAPOLIS, Nov. 6, 2025 /PRNewswire/ -- Allison Transmission Holdings, Inc. (NYSE: ALSN) ("Allison" or the "Company") today announced that its wholly owned subsidiary, Allison Transmission, Inc. (the "Issuer"), priced its offering of $500 million in aggregate principal amount of 5.875% Senior Notes due 2033 (the "Notes") on November 6, 2025 in a private placement (the "Notes Offering") exempt from registration under the Securities Act of 1933, as amended (the "Securities Act"). The Company also announced that it priced its new senior secured incremental term loan facility in an aggregate principal amount of $1,200 million (the "Incremental Term Loan Facility"), which will bear interest at a rate of Term SOFR plus 1.75%. As previously disclosed by the Company, the Issuer is seeking to enter into an amendment to its credit agreement, which, among other things, will provide for the Incremental Term Loan Facility. The Issuer intends to use the net proceeds from the Notes Offering and borrowings under the Incremental Term Loan Facility and its senior secured revolving credit facility, together with cash on hand and anticipated future cash flow, to finance the consummation of the Company's acquisition of the off-highway business of Dana Incorporated (the "Dana Business Acquisition") and to pay related fees, costs and expenses. The consummation of the Notes Offering is expected to occur on or about November 21, 2025, subject to customary conditions and the Incremental Term Loan Facility is expected to close concurrently with the closing of the Dana Business Acquisition. If the Dana Business Acquisition does not close, the Notes will be subject to a special mandatory redemption provision requiring the redemption of the Notes at par.

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