Blackstone Group LP is making a $200 million investment in Crocs Inc that will give the private equity firm a 13 percent stake in the shoe company, Crocs' chief financial officer told the Wall Street Journal on Sunday. Crocs CFO Jeff Lasher also told the Journal that the company's chief executive, John McCarvel, plans to retire in April and will also give up his seat on Crocs' board.Crocs, which is known for its colorful clogs, intends to use the Blackstone investment to help pay for a $350 million stock repurchase it expects to launch in the first quarter, Lasher said.In exchange for the $200 million, Blackstone will receive preferred stock that can convert to common stock in three years if certain conditions are met, he said. It will also receive two board seats.Established in 2002, Crocs sells its shoes, made out of a proprietary closed-cell resin it calls Croslite and offered in more than 300 four-season footwear styles in some 125 countries, according to its website.
The Blackstone Group L.P. (Blackstone) is a manager of private capital and provider of financial advisory services. Shares of BX traded higher by 0.42% or $0.13/share to $31.35. In the past year, the shares have traded as low as $15.20 and as high as $31.57. On average, 4674380 shares of BX exchange hands on a given day and today's volume is recorded at 2040116.
Crocs, Inc is a designer, manufacturer and distributor of footwear and accessories for men, women and children. Shares of CROX traded higher by 0.23% or $0.03/share to $13.33. In the past year, the shares have traded as low as $11.96 and as high as $17.95. On average, 1431980 shares of CROX exchange hands on a given day and today's volume is recorded at 546010.
Source
