JAKKS PACIFIC, INC. (NASDAQ:JAKK) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01.
On October 16, 2020, JAKKS Pacific, Inc. (the “Company”) reached an agreement (the “Agreement”) with holders of its term loan (the “Term Loan”) and Wells Fargo Bank, National Association, holder of its revolving credit facility (the “Credit Facility”) to receive a waiver on its EBITDA covenant until March 31, 2022. The Term Loan previously had a covenant requiring trailing 12-month EBITDA (as defined and adjusted therein) to be at least $34 million. Under the agreement reached with lenders, the trailing 12-month EBITDA requirement has been reduced to $25 million, which will not be calculated earlier than March 31, 2022.
Under the Agreement, the Company will pre-pay $15.0 million of the Term Loan immediately and, under certain conditions, pre-pay up to an additional $5.0 million no later than the third quarter of 2021. As of September 30th, the Company had $138.8 million outstanding on the Term Loan.
The foregoing description of the amendments to the Term Loan and to the Credit Facility is qualified in its entirety by reference to the full texts thereof, copies of which are filed as Exhibits 10.1 and 10.2, respectively, to this Form 8-K and is incorporated by reference into this Item 1.01.
| 10.1 | Consent and Amendment No. 3 to Amended and Restated Credit Agreement |
| 10.2 | Amendment No. 2 to First Lien Term Loan Facility Credit Agreement |
JAKKS PACIFIC INC Exhibit
EX-10.1 2 tm2033397d1_ex10-1.htm EXHIBIT 10.1 Exhibit 10.1 CONSENT AND AMENDMENT NO. 3 TO AMENDED AND RESTATED CREDIT AGREEMENT THIS CONSENT AND AMENDMENT NO. 3 TO AMENDED AND RESTATED CREDIT AGREEMENT (this "Amendment") is entered into as of October 16,…
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About JAKKS PACIFIC, INC. (NASDAQ:JAKK)
JAKKS Pacific, Inc. is a multi-line, multi-brand toy company. The Company designs, produces, markets and distributes toys and related products, pet toys, consumables and related products, electronics and related products, kids indoor and outdoor furniture, and other consumer products. The Company operates through two business segments: traditional toys and electronics, and role play, novelty and seasonal toys. The traditional toys and electronics segment includes action figures, vehicles, playsets, plush products, dolls, accessories, electronic products, construction toys, infant and pre-school toys, foot to floor ride-on vehicles, wagons and pet products and related products. The role play, novelty and seasonal segment includes role play and dress-up products, novelty toys, seasonal and outdoor products, indoor and outdoor kids’ furniture and Halloween and everyday costume play.
