Houlihan Lokey Advises JAKKS Pacific

Houlihan Lokey is pleased to have advised JAKKS Pacific, Inc. (NASDAQ:JAKK) on its successful debt placement. Houlihan Lokey served as the exclusive placement agent of a secured credit facility in support of the company’s refinancing. Proceeds from the transaction were used to refinance existing indebtedness and pay transaction-related fees and expenses. The transaction closed on June 2, 2021.

Founded in 1995 and based in Santa Monica, California, JAKKS Pacific is a leading designer, manufacturer, and marketer of toys and consumer products sold throughout the world. JAKKS Pacific’s popular proprietary brands include Creepy Crawlers®, Eyeclops®, Fly Wheel®, Kitten Catfe™, Perfectly Cute®, ReDo Skateboard Co.®, WeeeDo™, Xtreme Power®, Disguise®, Maui®, Moose Mountain®, Kids Only!®, and a wide range of entertainment-inspired products featuring premier licensed properties.

Houlihan Lokey’s Capital Markets Group served as the exclusive placement agent to JAKKS Pacific, assisting the company in arranging, structuring, and negotiating the financing. The new secured credit facility consists of an asset-based revolving credit facility, a first lien term loan, and a delayed-draw term loan commitment. The transaction represents another example of Houlihan Lokey’s ability to drive favorable outcomes for its clients with publicly traded securities, including extending near-term debt maturities while achieving more favorable terms, redeeming potentially dilutive convertible securities, and enhancing liquidity by expanding the company’s global borrowing base. Houlihan Lokey’s Capital Markets Group is one of the largest providers of private capital solutions in the world, raising nearly $11 billion across approximately 60 transactions during fiscal 2021.

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