Crocs’ $2 Billion Senior Secured Term Loan Facility

Davis Polk advised the joint lead arrangers and the administrative agent and initial lender in the transaction.

Crocs, Inc. completed a $2 billion senior secured term loan facility provided to partially finance its acquisition of HEYDUDE for $2.5 billion in a cash-and-stock deal.

The arrangers included Citibank, N.A., PNC Capital Markets LLC, BofA Securities, Inc. (or any of its designated affiliates) and Morgan Stanley Senior Funding, Inc.

Crocs, Inc., headquartered in Colorado, is a leader in innovative casual footwear for women, men and children. Crocs is one of the world’s 10 largest non-athletic footwear brands and, since 2002, has sold more than 720 million pairs of shoes in more than 90 countries around the world.

HEYDUDE, a privately owned casual footwear brand, was founded in Italy in 2008 and produces shoes for men, women and children. As of December 2017, HEYDUDE had sold one million pairs of shoes in the United States.

The Davis Polk finance team included partner Kenneth J. Steinberg (Picture) and associates Matthew J. Wiener and Aaron Shubert. The environmental team included counsel David A. Zilberberg. The intellectual property and technology transactions team included counsel Bonnie Chen and associate Joshua Cameron Shirley. The tax team included partner Po Sit and associate Justin Corvino.

Involved fees earner: Aaron Shubert – Davis Polk & Wardwell; Bonnie Chen – Davis Polk & Wardwell; Justin Corvino – Davis Polk & Wardwell; Joshua Cameron Shirley – Davis Polk & Wardwell; Po Sit – Davis Polk & Wardwell; Kenneth Steinberg – Davis Polk & Wardwell; Matthew Wiener – Davis Polk & Wardwell; David Zilberberg – Davis Polk & Wardwell;

Law Firms: Davis Polk & Wardwell;

Clients: Bank of America Securities; Citibank; Morgan Stanley Senior Funding, Inc.; PNC Capital Markets LLC;