Clarus Corporation Announces Upsized $425 Million Credit Agreement
– Upsized Agreement Features $300 Million Revolving Credit Facility and a $125 Million Term Loan –
SALT LAKE CITY, April 19, 2022 (GLOBE NEWSWIRE) -- Clarus Corporation (NASDAQ: CLAR) (“Clarus” and/or the “Company”), a global company focused on the outdoor and consumer enthusiast markets, announced that it has amended and upsized its existing senior secured credit facility jointly led by JPMorgan Chase Bank, N.A. and Bank of America, N.A. with U.S. Bank National Association, Regions Bank, Wells Fargo Bank National Association, Texas Capital Bank National Association and Zions Bank participating in the lender group.
Under the terms of the upsized credit agreement, Clarus has access to an increased revolving credit facility of $300 million and a $125 million term loan. The facility also includes an uncommitted accordion feature of $175 million, for a total borrowing capacity of up to $600 million. The revolving credit facility also allows for borrowings in certain foreign currencies. Generally, for U.S. dollar borrowings under the credit facility, the applicable interest rate will be based on either an adjusted SOFR rate or an alternative base rate, plus an applicable margin ranging from 1.5 percent to 2.625 percent per annum. The amended credit facility matures in April 2027. The term loan was fully borrowed at the closing of the facility and cannot be reborrowed.
“This expansion in our credit facility strengthens our ability to pursue additional ‘Super Fan’ brands via our disciplined acquisition strategy and signifies the support of our banking partners to execute our growth plan,” said Clarus CFO Mike Yates. “We look forward to prudently using this additional capital to continue our market momentum and drive shareholder value.”
About Clarus Corporation
Headquartered in Salt Lake City, Utah, Clarus Corporation is a global leading designer, developer, manufacturer and distributor of best-in-class outdoor equipment and lifestyle products focused on the outdoor and consumer enthusiast markets. Our mission is to identify, acquire and grow outdoor “super fan” brands through our unique “innovate and accelerate” strategy. We define a “super fan” brand as a brand that creates the world’s pre-eminent, performance-defining product that the best-in-class user cannot live without. Each of our brands has a long history of continuous product innovation for core and everyday users alike. The Company’s products are principally sold globally under the Black Diamond®, Rhino-Rack®, MAXTRAX®, Sierra®, and Barnes® brand names through outdoor specialty and online retailers, our own websites, distributors, and original equipment manufacturers. Our portfolio of iconic brands is well-positioned for sustainable, long-term growth underpinned by powerful industry trends across the outdoor and adventure sport end markets. For additional information, please visit www.claruscorp.com or the brand websites at www.blackdiamondequipment.com, www.rhinorack.com, www.maxtrax.com.au, www.sierrabullets.com, www.barnesbullets.com, www.pieps.com, or www.goclimbon.com.
Please note that in this press release we may use words such as “appears,” “anticipates,” “believes,” “plans,” “expects,” “intends,” “future,” and similar expressions which constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are made based on our expectations and beliefs concerning future events impacting the Company and therefore involve a number of risks and uncertainties. We caution that forward-looking statements are not guarantees and that actual results could differ materially from those expressed or implied in the forward-looking statements. Potential risks and uncertainties that could cause the actual results of operations or financial condition of the Company to differ materially from those expressed or implied by forward-looking statements in this release, include, but are not limited to, those risks and uncertainties more fully described from time to time in the Company’s public reports filed with the Securities and Exchange Commission, including under the section titled “Risk Factors” in the Company’s Annual Report on Form 10-K, and/or Quarterly Reports on Form 10-Q, as well as in the Company’s Current Reports on Form 8-K. All forward-looking statements included in this press release are based upon information available to the Company as of the date of this press release and speak only as of the date hereof. We assume no obligation to update any forward-looking statements to reflect events or circumstances after the date of this press release.
John C. Walbrecht
Michael J. Yates
Chief Financial Officer
Investor Relations Contact:
Gateway Group, Inc.
Released April 19, 2022