(Bloomberg) -- Crocs Inc., the colorful clog maker, is hitting the junk-bond market to borrow at cheap rates to fund stock buybacks, according to a person with knowledge of the matter.

The company, which has seen a rise in its popularity thanks to the likes of Justin Bieber and rapper Bad Bunny, is selling $350 million of notes that may price as soon as Thursday, said the person, who asked not to be identified because the details are private.

Niwot, Colorado-based Crocs raised the same amount -- $350 million -- from its debut high-yield deal earlier this year, boosting the size of the offering amid strong demand. The bond, which pays interest of 4.25%, has since rallied in price to about to 103.8 cents, according to Trace pricing.

Read more: Bieber’s Cool-Again Clog Brand Seizes Junk Fury to Debut

Companies have been selling debt at a rampant pace this year, capitalizing on cheap debt to fund everything from dividend payouts, acquisitions and leveraged buyouts, to replacing more expensive borrowings taken on earlier in the pandemic. Average junk-bond yields crept up to a two-week high of 4.02% on Wednesday, according to Bloomberg Barclays index data, but are still close to record lows of 3.53%.

Morgan Stanley is managing the sale of the Crocs junk bond, which will mature in 10 years and may also be used for capital expenditures, working capital, the repayment of debt and acquisitions, said the person.

©2021 Bloomberg L.P.