Business
JAKKS Pacific Announces Prepayment of Term Loan
SANTA MONICA, Calif.--(BUSINESS WIRE)-- JAKKS Pacific, Inc. [NASDAQ: JAKK] today announced that on June 5, 2023 it repaid in full its Term Loan from Benefit
About this update from Jakks Pacific, Inc.
[{"type":"text","content":" SANTA MONICA, Calif.--(BUSINESS WIRE)--\nJAKKS Pacific, Inc. [NASDAQ: JAKK] today announced that on June 5, 2023 it repaid in full its Term Loan from Benefit Street Partners after making a voluntary prepayment of $30.5 million using cash on hand. The Company estimates that prepayment of the term loan could save it approximately $1.2 million in cash expense for the balance of this fiscal year. The Company will accelerate approximately $0.7 million of amortizable non-cash deferred financing costs associated with the prepayment to the second quarter ending June 30, 2023. The Company continues to maintain its asset-based revolving credit line with JP Morgan Chase Bank. The excess borrowing availability was $30.2 million as of March 31, 2023.\n\n\nManagement Commentary\n\n\n“This represents an important milestone in achieving our goal of building a financially strong company, self-sustaining from its cash flows and well positioned for the future,” said Stephen Berman, JAKKS Pacific Inc.’s Chairman and CEO, “It is gratifying to see the results of our focus over the past several years to strengthen all aspects of our business to improve our profitability. As a positive result of that team effort, we have generated sufficient excess cash flow that we can prepay this loan at this time.”\n\n\nAbout JAKKS Pacific, Inc.\n\n\nJAKKS Pacific, Inc. is a leading designer, manufacturer and marketer of toys and consumer products sold throughout the world, with its headquarters in Santa Monica, California. JAKKS Pacific’s popular proprietary brands include: Fly Wheels®, Perfectly Cute®, ReDo® Skateboard Co., AirTitans®, Sky Ball®, JAKKS Wild Games™, Moose Mountain®, Maui®, SportsZone™, Kids Only!™, Xtreme Power Dozer®, Disguise®, WeeeDo®, Ami Amis™ and a wide range of entertainment-inspired products featuring premier licensed properties. Through JAKKS Cares, the company’s commitment to philanthropy, JAKKS is helping to make a positive impact on the lives of children. Visit us at www.jakks.com and follow us on Instagram (@jakkstoys), Twitter (@jakkstoys) and Facebook (@jakkstoys).\n\n\nForward Looking Statements\n\n\nThis press release may contain “forward-looking statements” (within the meaning of the Private Securities Litigation Reform Act of 1995) that are based on current expectations, estimates and projections about JAKKS Pacific's business b...