* To buy American Sporting Goods Corp for $145 mln incl debt
* Sees deal to add $0.10-$0.12/shr to 2011 EPS
* Raises borrowing under credit facility by $150 mln
* To use credit facility to fund deal
Feb 17 (Reuters) - Shoemaker Brown Shoe Co Inc said it acquired American Sporting Goods Corp (ASG) for $145 million in a cash and debt deal to boost its athletic footwear offerings.
The shoemaker expects the deal to add 10-12 cents per share to its 2011 earnings, excluding transaction costs.
ASG had net sales of $232 million for its most recently completed fiscal year, Brown Shoe said.
ASG's key brands include Avia athletic shoes for men, women and children, ryka women's fitness footwear and AND1 basketball shoes.
Brown Shoe also said it increased its revolving credit agreement by $150 million to $530 million, which it will use to entirely finance the deal. It still has access to an additional $150 million accordion under the facility.
Shares of the St. Louis-based company closed up 2 percent at $14.58 Thursday on the New York Stock Exchange.
(Reporting by Viraj Nair in Bangalore; Editing by Gopakumar Warrier) Keywords: UPDATE 1 (viraj.nair@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: viraj.nair.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
* Sees deal to add $0.10-$0.12/shr to 2011 EPS
* Raises borrowing under credit facility by $150 mln
* To use credit facility to fund deal
Feb 17 (Reuters) - Shoemaker Brown Shoe Co Inc said it acquired American Sporting Goods Corp (ASG) for $145 million in a cash and debt deal to boost its athletic footwear offerings.
The shoemaker expects the deal to add 10-12 cents per share to its 2011 earnings, excluding transaction costs.
ASG had net sales of $232 million for its most recently completed fiscal year, Brown Shoe said.
ASG's key brands include Avia athletic shoes for men, women and children, ryka women's fitness footwear and AND1 basketball shoes.
Brown Shoe also said it increased its revolving credit agreement by $150 million to $530 million, which it will use to entirely finance the deal. It still has access to an additional $150 million accordion under the facility.
Shares of the St. Louis-based company closed up 2 percent at $14.58 Thursday on the New York Stock Exchange.
(Reporting by Viraj Nair in Bangalore; Editing by Gopakumar Warrier) Keywords: UPDATE 1 (viraj.nair@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: viraj.nair.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.