Key Developments For JAKKS Pacific, Inc.
JAKKS Pacific, Inc. (JAKK.O) (Nasdaq)
JAKKS Pacific Inc. Closes Sale Of $100 Million Of Convertible Senior Notes
JAKKS Pacific Inc. announced the closing of the sale of $100 million principal amount of 4.50% convertible senior notes due 2014. The notes are senior unsecured obligations of the Company, are entitled to semi annual interest payments at a rate of 4.50% per annum and mature on November 1, 2014. The notes are convertible into shares of the Company's common stock at an initial conversion rate of 63.2091 shares of the Company's common stock per $1,000 principal amount of notes. Upon conversion, the notes may be settled, at the Company's election, in cash, shares of its common stock, or a combination of cash and shares of its common stock. Note holders may require the Company to repurchase for cash all or some of their Notes upon the occurrence of a fundamental change. The Company intends to use the net proceeds from the sale of the notes, along with cash on hand, to repurchase all or a portion of its 4.625% convertible senior notes due 2023. Pursuant to unsolicited reverse inquiries from holders of the 2023 Notes, the Company expects to repurchase approximately $78.0 million of the 2023 notes at par shortly after the closing of the offering. In the event the Company is unable to repurchase all of the 2023 notes on satisfactory terms, the Company may use the proceeds from the offering for general corporate purposes.
JAKKS Pacific Inc. Prices $85.0 Million Of Convertible Senior Notes
JAKKS Pacific Inc. announced the pricing of $85.0 million principal amount of 4.50% convertible senior notes due 2014 (the notes). The notes are senior unsecured obligations of JAKKS, will pay interest semi-annually at a rate of 4.50% per annum and will mature on November 1, 2014. The conversion rate will initially be 63.2091 shares of JAKKS common stock per $1,000 principal amount of notes (equivalent to an initial conversion price of approximately $15.82 per share of common stock). Prior to August 1, 2014, holders of the notes may convert their notes only upon specified events. Upon conversion, the notes may be settled, at JAKKS` election, in cash, shares of its common stock, or a combination of cash and shares of its common stock. Holders of the notes may require JAKKS to repurchase for cash all or some of their notes upon the occurrence of a fundamental change (as defined). JAKKS anticipates closing the offering of the notes on November 10, 2009. JAKKS also granted the initial purchaser of the notes a 30-day option to purchase up to an additional $15.0 million in principal amount of additional notes to cover over-allotments, if any. JAKKS intends to use the net proceeds from the offering, along with cash on hand, to repurchase all or a portion of its 4.625% convertible senior notes due 2023. In the event JAKKS is unable to repurchase such notes on satisfactory terms, JAKKS may use such proceeds for general corporate purposes.
JAKKS Pacific Inc. Announces Proposed Private Placement
JAKKS Pacific Inc. announced that it proposes to offer, $85.0 million in aggregate principal amount of convertible senior notes due 2014 in a private placement. JAKKS intends to grant the initial purchaser of the notes a 30-day option to purchase up to $15.0 million in principal amount of additional notes to cover over-allotments, if any. The notes will be convertible at any time only upon specified events. Upon conversion, the notes may be settled, at JAKKS` election, in cash, shares of its common stock, or a combination of cash and shares of its common stock. The interest rate, conversion price and other terms will be determined by negotiations between JAKKS and the initial purchaser of the notes. JAKKS intends to use the net proceeds from this offering, along with cash on hand, to repurchase all or a portion of its 4.625% convertible senior notes due 2023. In the event JAKKS is unable to repurchase such notes on satisfactory terms, JAKKS may use such proceeds for general corporate purposes.
JAKKS Pacific Inc. Reaffirms FY 2009 Guidance
JAKKS Pacific Inc. announced that for fiscal 2009, it still believes previously announced guidance is achievable. For fiscal 2009, the Company expects GAAP net sales of approximately $810 million, with a net loss on a GAAP basis of $378.0 million, or $13.72 per share, and non-GAAP net sales of approximately $810.7 million, with net income on a non-GAAP basis of $30.0 million, or $1.01 per diluted share. According to Reuters Estimates, analysts on an average are expecting the Company to report non-GAAP earnings per share (EPS) of $1.01 on revenue of $812.3 million for fiscal 2009.
CORRECTION OFFICIAL - JAKKS Pacific Inc. And Round 5 Sign Licensing Agreement To Share MMA Talent For New UFC Action Figure Lines
CORRECTED TO READ "...both companies now have access to MMA talent pool, including Randy Couture, Andrei Arlovski, Matt Hughes, Clay Guida..." INSTEAD of "...both companies now have access to MMA talent pool, including Randy Couture, Andrei Arlovski, Matt Hughes, Jake Shields..." IN THE BODY JAKKS Pacific Inc. announced a sub-licensing agreement with Round 5 Corp. to share UFC and MMA talent. The agreement will allow both companies access to the biggest MMA fighters in order to manufacture, market and distribute action figures and related products under the UFC umbrella. As a result, both companies now have access to MMA talent pool, including Randy Couture, Andrei Arlovski, Matt Hughes, Clay Guida, Chuck Liddell, Forrest Griffin, Brock Lesnar, BJ Penn and other top MMA fighters.
