Wolverine Worldwide Inc. has increased its senior secured credit facility by nearly one third.
The owner of such brands as Merrell, Saucony, Keds and Sperry said it had amended and extended its senior secured credit facilities, which now consists of a $450 million term loan and a $500 million revolving credit facility. That represents an overall facility increase of $300 million.
In addition to increasing the overall size of the company's borrowing capacity, the amended credit agreement extends the maturity date of the facilities, lowers the cost of the company's debt, lowers cash required during the first three years, and increases flexibility with respect to stock repurchases and other restricted uses of cash.
“We are extremely pleased to complete this new facility with our lenders and thank them for their support,” commented Michael D. Stornant, Wolverine Worldwide's Senior Vice President and Chief Financial Officer. “This amendment provides us with additional flexibility and liquidity to continue to invest in growth, fund possible future acquisitions, and repurchase shares all while reducing our interest rate.”
Additional details regarding this transaction will be made available in a Current Report on Form 8-K to be filed by Wolverine Worldwide with the Securities and Exchange Commission.
Wolverine World Wide, Inc. is one of the world's leading marketers of branded casual, active lifestyle, work, outdoor sport, athletic, children's and uniform footwear and apparel. The company's portfolio of highly recognized brands includes: Merrell, Sperry, Hush Puppies, Saucony, Wolverine, Keds, Stride Rite, Sebago, Cushe, Chaco, Bates, and HYTEST . The company also is the global footwear licensee of the popular brands Cat and Harley-Davidson . The company's products are carried by leading retailers in the U.S. and globally in approximately 200 countries and territories.
