Jakks Pacific has received an additional, non-binding expression of interest to acquire all of the shares of the company’s common stock, the firm has detailed in an official press release. It was made for an indicated price of between 85 and 90 cents per share.
The announcement follows speculation that Jazwares was at least playing with the idea of a take over bid for the US toymaker last week. According to an official statement, Jakks Pacific has ‘continued to engage in discussions with another party that previously made a non-binding proposal to acquire all of the shares of the company’s common stock for an indicated price of 80 cents per share.
As previously announced, such discussions were in addition to the prior negotiations with Hong Kong Meisheng Cultural Company Limited (“Meisheng”) regarding its proposed purchase of newly issued shares of the company’s common stock, and followed delays in achieving the necessary approvals for the Meisheng transaction, including approvals from Chinese regulatory authorities.
Jakks Pacific and its advisors have engaged in discussions with the interested parties regarding the non-binding proposals and have furnished information to them in connection with due diligence activities. All discussions are in their early stages and no agreements or understandings have been yet been reached.
Stephen Berman, CEO and co-founder of Jakks Pacific, said: “As I have said, the Recapitalization transaction allowed us to continue to pursue our business objectives with renewed vigour and resolve. We remain committed to executing our business plan in the months and years ahead. At the same time, however, the Company is exploring the alternative transactions described in this announcement.”
Jakks Pacific has stresses that all talk of offers at at initial discussion stage only.
“No assurance can be given that the ongoing discussions and negotiations described above will result in a consummation of a transaction with any of the parties identified above, or with any other party, and that even if a transaction is consummated, that its final terms will resemble the terms described above,” read a statement.