Company to be Owned by First Lien Secured Lenders
Sale Transaction Strengthens Financial Foundation Through Elimination of More Than $300 Million of Debt and Access to New Money Financing to Invest in Growth
No Expected Impact to Global Manufacturing and Distribution Operations
BOCA RATON, Fla.–(BUSINESS WIRE)–Shoes For Crews, LLC (“Shoes For Crews” or the “Company”), a global leader and pioneer in slip-resistant footwear, on Friday, May 24, 2024, received approval from the United States Bankruptcy for the District of Delaware (the “Court”) pursuant to Section 363 of the United States Bankruptcy Code, for the sale of substantially all of its assets to its first lien secured lenders (the “Sale Transaction”) via a stalking horse credit bid. The Sale Transaction will eliminate more than $300 million of debt and is expected to provide Shoes For Crews with the financial flexibility to invest in growth across key markets, and better serve its global customer base with its best-in-class products.
“With strengthened financial footing under new ownership, we will continue investing in our industry-leading products and serve as an even better partner to our valued customers, vendors, suppliers, and brand partners,” said Donald Watros, President and Chief Executive Officer, Shoes For Crews. “We remain committed to positioning the business for the future and advancing our mission of creating a safer workplace by developing and providing the leading slip-resistant footwear to our customers around the world.”
Following a comprehensive court-supervised competitive sale process, the Company’s first lien secured lenders, comprised of a group of top-tier global investment firms, will acquire substantially all of the Company’s assets. The Sale Transaction is expected to close in June 2024, subject to customary closing conditions.
Upon consummation of the Sale Transaction, Shoes For Crews will enter into a new credit facility to support the Company’s operations and continued financial stability.
Company Advisors
Ropes & Gray LLP and Chipman Brown Cicero & Cole, LLP are serving as legal advisors, Berkeley Research Group, LLC is serving as financial advisor, Solomon Partners Securities, LLC is serving as investment banker, and C Street Advisory Group is serving as strategic communications advisor to the Company.
About Shoes For Crews®
Shoes For Crews® is a leading designer and manufacturer of slip-resistant footwear, protecting millions worldwide. Headquartered in Boca Raton, Florida, Shoes For Crews® began producing slip-resistant footwear in 1984 with a mission to create a safer workplace. The Company’s focus is to deliver best-in-class safety footwear with superior slip-resistant outsole technology, unmatched comfort and on-trend styling through a complete line of slip-resistant footwear designed to bring each employee home safely. For more information, visit www.shoesforcrews.com.
Contacts
Media
C Street Advisory Group
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