SANTA MONICA, Calif.--(BUSINESS WIRE)--Jan. 26, 2018--
JAKKS Pacific, Inc. (NASDAQ: JAKK) announced today that the Company had
received a letter dated January 25, 2018 from Hong Kong Meisheng
Cultural Company Limited (“Hong Kong Meisheng”), a wholly owned
subsidiary of Meisheng Cultural and Creative Corp. (collectively,
“Meisheng”), containing a non-binding proposal (“Expression of
Interest”) expressing Meisheng’s interest in acquiring additional shares
of JAKKS common stock for $2.95 per share. Upon completion of the
transaction, Meisheng’s shareholdings and voting rights would increase
to 51%.
The Proposal states that it is subject to due diligence, and that
Meisheng intends to fund the transaction through a combination of
existing cash on hand and/or other financing sources to the extent
required for the restructuring or refinancing of JAKKS’ outstanding
senior convertible senior notes.
The Expression of Interest also states that the transaction is subject
to approval by Meisheng’s Board of Directors, shareholders and Chinese
regulatory authorities.
Hong Kong Meisheng currently owns 5,239,538 shares of JAKKS common stock
constituting 18% of JAKKS issued and outstanding shares of common stock.
The Board of Directors of JAKKS Pacific has authorized a Special
Committee comprised solely of independent directors to evaluate the
Expression of Interest. The Special Committee intends to engage
independent legal counsel and an independent financial advisor to assist
in its evaluation of the Expression of Interest.
About JAKKS Pacific, Inc.
JAKKS Pacific, Inc. (NASDAQ: JAKK) 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 BIG-FIGS™, XPV®, Max Tow™, Disguise®,
Moose Mountain®, Funnoodle®, Maui®, Kids Only!®; a wide range of
entertainment-inspired products featuring premier licensed properties;
and C’est Moi™, a youth skincare and make-up brand. 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 (JAKKS
Pacific).
©2018 JAKKS Pacific, Inc. All rights reserved
Forward Looking Statements
This 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 based partly on assumptions made by its management.
These statements are not guarantees of future performance and involve
risks, uncertainties and assumptions that are difficult to predict.
Therefore, actual outcomes and results may differ materially from what
is expressed or forecasted in such statements due to numerous factors,
including, but not limited to, those described above, changes in demand
for JAKKS' products, product mix, the timing of customer orders and
deliveries, the impact of competitive products and pricing, and
difficulties with integrating acquired businesses. The “forward-looking
statements” contained herein speak only as of the date on which they are
made, and JAKKS undertakes no obligation to update any of them to
reflect events or circumstances after the date of this release.
View source version on businesswire.com: http://www.businesswire.com/news/home/20180126005119/en/
Source: JAKKS Pacific, Inc.
JAKKS Pacific
Rachel Griffin, 424-268-9553
RGriffin@jakks.net
or
Liolios
Sean
McGowan, 949-574-3860
JAKK@liolios.com