Cole Haan Seeks $270 Million Term Loan B for Apax Buyout

Cole Haan Inc., a designer and retailer of premium footwear, is seeking a $270 million term loan B backing its buyout by Apax Partners Inc., according to a person with knowledge of the transaction.

Jefferies Group Inc. is arranging the financing which will also include a $100 million asset-based revolving line of credit, said the person, who asked not to be identified because the information is private. The bank will hold a lender meeting on Jan. 11.

Leverage, or debt to earnings before interest, taxes, depreciation and amortization, will be 4.25 times, said the person.

Apax is acquiring the New York-based company from Nike Inc. (NKE) for $570 million in cash and the buyout firm will make an equity investment of $300 million, according to the person.

Todd Fogarty, a spokesman for Apax, didn’t immediately respond to an e-mail seeking comment.

To contact the reporter on this story: Michael Amato in New York at mamato3@bloomberg.net

To contact the editor responsible for this story: Chapin Wright at cwright4@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.