The U.S. based entities of slip-resistant footwear company Shoes for Crews has filed voluntary petitions for Chapter 11 relief in the United States Bankruptcy Court for the District of Delaware in an effort to undergo a sale of its business.
According to a Tuesday release, Shoes for Crews plans to enter a stalking horse asset purchase agreement to sell the business in a deal that would enable the company to keep operating under a new owner and would allow for the investment into global markets. CCMP Capital Advisors, LP, the company’s primary equity sponsor, supported the process along with other stakeholders. The goal is to complete the process in two months.
The company has retained Ropes & Gray LLP and Chipman Brown Cicero & Cole, LLP as legal advisors, Berkeley Research Group, LLC as financial advisor, Solomon Partners Securities, LLC as investment banker and C Street Advisory Group as strategic communications advisor.
President and chief executive officer of Shoes For Crews Donald Watros said in a statement that the process will help the company “continue investing in our industry-leading products and delivering for our valued customers well into the future.”
“We are confident that with a stronger balance sheet and the strong support of new ownership, Shoes For Crews will be on track to continue in our mission of creating a safer workplace by continuing to develop and provide the leading slip-resistant footwear to bring every employee home safely,” he said.
Shoes for Crews has also entered a deal to receive $30 million of debtor-in-possession to help the company’s manufacturing and distribution operations continue to function during the bankruptcy process.
Shoes for Crews was founded in 1984 as a solution to the prevalence of slip and fall injuries in the workplace. The company owns proprietary brands like Shoes For Crews, Ace Work Boots, Mozo and Lila and also partners with top footwear brands that feature its slip-resistant outsole technology, such as New Balance, Dockers, Dansko, DeWalt, Cole Haan, Puma and Carolina Boots.
