Skechers Prices Over $6 Billion of Debt in Rare Buyout Financing

Footwear maker Skechers USA Inc. priced more than $6 billion in debt on Thursday to support its buyout by 3G Capital, in a sizable deal that showed how eager leveraged finance buyers are for any debt supporting a large merger or acquisition.

Portions of the deal, which included bonds and loans, offered better pricing for the borrower, and one tranche allows the company to defer paying cash interest, according to people with knowledge of the matter. But on the latter part, bond investors scored protections that prevent the company from moving assets into new subsidiaries and out of their reach.