Billionaire’s Tool Firm Taps Loans for Fifth Payout in a Decade
- Harbor Freight looking to raise $3 billion for dividend, refi
- Loans funding distributions soar amid low rates, demand surge
Photographer: Bruce Bennett/Getty Images
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Companies have been selling risky loans to fund payouts at the fastest pace in years. Harbor Freight Tools USA Inc., a discount tools retailer run by billionaire Eric Smidt, is the latest borrower looking to line its pockets.
The company, which sells $7.99 wrenches and $8.99 plier sets, is seeking to borrow $3 billion in what will be its fifth such deal in the past decade, according to data compiled by Bloomberg.