Crocs, Inc. reported repricing the $1.18 billion outstanding under its Term Loan B facility through a refinancing amendment,
The refinancing amendment reduces the interest rate margins applicable to the $1.18 billion outstanding under the Term Loan B facility such that each term loan borrowing which is (1) an alternate base rate borrowing, will bear interest at a rate per annum equal to the alternate base rate plus 2 percent (a decrease of 0.50 percent), and (2) a term benchmark borrowing will bear interest at a rate per annum equal to the adjusted term SOFR rate plus 3 percent (a decrease of 0.50 percent).
Anne Mehlman, EVP and CFO at Crocs, said, “I am very pleased with the outcome of this refinancing transaction. We successfully achieved a 0.50 percent reduction in our Term Loan B borrowing rate, with no change to our leverage, covenants or maturity date. The overwhelming market reception to this transaction is a testament to our strong credit profile and free cash flow generation. Since acquiring Heydude in February 2022, we have repaid $850M in debt and intend to methodically balance debt repayment and share repurchases as we approach our long-term net leverage target.”
Photo courtesy Crocs
