Crocs Inc said on Thursday it would buy privately owned footwear label Heydude for $2.5 billion in a cash-and-stock deal, as the rubber clogs maker looks to take advantage of the pandemic-led surge in demand for casual shoes.
Crocs said the deal would be funded by $2.05 billion in cash and $450 million in Crocs shares issued to Heydude founder and Chief Executive Alessandro Rosano. The company would enter into a $2 billion term loan B facility and borrow $50 million under its existing senior revolving credit facility to fund the cash portion.
In comparison, Crocs, which brings in 37% of its sales through its e-commerce division, in October forecast its 2021 revenue to grow between 62% and 65% from the $1.39 billion it recorded last year.
Read more/Source: Reuters
