Cole Haan Seeks $270 Million Term Loan B for Apax BuyoutMichael Amato
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. 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.