Crocs to Receive $200 Million from Blackstone, CEO to Retire
Crocs Inc (CROX.O) announced today that Blackstone Group LP (BX.N) is making a $200 million investment that will give the private equity firm a 13 percent stake in the shoe company. In return for the $200 million, Blackstone will receive preferred stock that it can convert to common stock in three years under certain conditions. Blackstone also receive two board seats. The preferred stock will have a 6 percent cash dividend rate and is convertible into shares of common stock at a conversion price of $14.50 per share. The shoemaker also announced late on Sunday that the company’s Chief Executive John McCarvel plans to retire in April and will give up his seat on Crocs’ board of directors.