Honeywell Sells Performance and Lifestyle Footwear Business to Rocky Brands for $230 Million
By Dave Sebastian
Honeywell International Inc. has agreed to sell its performance
and lifestyle footwear business for roughly $230 million to Rocky
Brands, a footwear and apparel maker.
The companies on Monday said the business to be divested
includes five brands Honeywell deems non-core, including the
Original Muck Boot Co., XTRATUF fishing boots and deck shoes,
Ranger, NEOS overshoes and Servus protective rubber boots.
Rocky Brands is the manufacturer behind Rocky, Georgia Boot,
Durango, Lehigh and the licensed brand Michelin. The acquisition
will have minimal overlap with Rocky Brands' portfolio, Rocky
Brands President and Chief Executive Jason Brooks said.
The deal, expected to close in the first quarter, will
immediately add to Rocky Brands' gross margins and per-share
earnings, the company said. Rocky Brands said it will fund the
acquisition with an $80 million senior secured asset-backed credit
facility with Bank of America NA, a $130 million senior secured
term loan facility with the direct lending group of TCW Asset
Management Co. LLC and cash on hand.
Honeywell, which will continue to make industrial safety
footwear under brands such as Oliver and MTS, said the acquisition
won't affect its financial guidance.
Write to Dave Sebastian at email@example.com
(END) Dow Jones Newswires
January 25, 2021 08:59 ET (13:59 GMT)
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