Crocs Seizes On Pandemic Popularity, Gets Into the Junk-Bond Market
- Crocs sold $350 million of bonds due in 2029 with 4.25% yield
- Company is the 20th debut issuer in U.S. junk market in 2021
Crocs X Justin Bieber with drew Classic Clog
Source: Crocs via PR NewswireThis article is for subscribers only.
Crocs Inc., the colorful clog maker made cool again thanks to Justin Bieber and Bad Bunny, is seizing on its unprecedented popularity and cheap financing to borrow in the U.S. junk-bond market for the first time ever.
The company sold $350 million of eight-year bonds at a yield of 4.25% Tuesday, according to a person familiar with the matter. The amount was up from a planned $300 million, and the borrowing cost on the lower end of initial price discussions. The proceeds will help pay down $180 million of bank debt and general corporate purposes, Niwot, Colorado-based Crocs said in a statement Monday.