Wolverine Worldwide sells 550 million dollars in bonds to refinance debt

Wolverine Worldwide has announced the sale of 550 million dollars of 4 percent Senior Notes due in 2029 as it looks to increase the liquidity and flexibility of its capital structure.

The US footwear and apparel manufacturer said it used the net proceeds from the sale, together with borrowings under its amended senior credit facility, to redeem all of its outstanding 5 percent Senior Notes due 2026, as well as its 6.375 percent Senior Notes due 2025 and to pay all related fees and expenses.

“The company’s consistently strong cash flow over the last several years has resulted in a very healthy balance sheet,” said senior vice president and chief financial officer Mike Stornant in a statement.

He said the company’s bond refinancing will deliver annual interest expense savings of approximately 9.5 million dollars “that will benefit us immediately”.

The news comes just weeks after Wolverine Worldwide bought activewear brand Sweaty Betty from L Catterton for 410 million dollars.