NEW YORK, Feb. 16, 2018 /PRNewswire/ -- Iconix Brand Group,
Inc. (Nasdaq: ICON) ("Iconix" or the "Company") today announced it
has entered into additional agreements with holders of the
Company's 1.5% convertible senior subordinated notes due 2018 (the
"2018 Notes") to increase the principal amount of 2018 Notes
participating in the previously announced private exchange from
approximately $110 million to
$125 million.
As previously disclosed, the Company entered into exchange
agreements with holders of the 2018 Notes to exchange their 2018
Notes for new convertible senior subordinated secured second lien
notes due 2023 (the "2023 Notes"). The 2018 Notes will be exchanged
for the 2023 Notes at an exchange ratio of $1,000 principal amount of 2023 Notes for each
$1,000 principal amount of 2018
Notes. The Company previously disclosed that it may enter into
additional exchange agreements with holders of the 2018 Notes to
increase the aggregate principal amount of 2018 Notes participating
in the private exchange to up to $125
million. The Company expects to settle the private exchange
on or about February 22, 2018.
John Haugh, CEO of Iconix
commented, "We are pleased to announce the additional exchange
transactions and the increased amount of notes being
exchanged. As we previously highlighted, these exchange
transactions are part of the Company's strategy to satisfy
near-term debt obligations and represent a positive step in
improving our balance sheet. As a result, we remain positioned to
finalize the solution for the balance of our upcoming debt
obligations."
Further details regarding the terms and conditions of the
private exchange and the 2023 Notes are set forth in the Company's
Current Report on Form 8‑K filed with the Securities and
Exchange Commission on February 12,
2018. In addition, the Company expects to file the indenture
pursuant to which the 2023 Notes are expected to be issued as an
exhibit to a Current Report on Form 8‑K after consummation of
the private exchange.
In connection with the private exchange, Guggenheim Securities,
LLC is acting as the Company's sole financial advisor, and Dechert
LLP is acting as the Company's legal advisor.
About Iconix Brand Group, Inc.
Iconix Brand Group, Inc. owns, licenses and markets a portfolio
of consumer brands including: CANDIE'S ®, BONGO ®, JOE
BOXER ®, RAMPAGE ®, MUDD ®, MOSSIMO ®,
LONDON FOG ®, OCEAN
PACIFIC ®, DANSKIN ®, ROCAWEAR ®, CANNON ®,
ROYAL VELVET ®, FIELDCREST ®, CHARISMA ®,
STARTER ®, WAVERLY ®, ZOO YORK ®, UMBRO ®, LEE
COOPER ®, ECKO UNLTD. ®, MARC ECKO ®, and ARTFUL
DODGER ®. In addition, Iconix owns interests in the MATERIAL
GIRL ®, ED HARDY ®, TRUTH OR DARE ®, MODERN
AMUSEMENT ®, BUFFALO ® and PONY ® brands. The
Company licenses its brands to a network of leading retailers and
manufacturers that touch every major segment of retail distribution
in both the U.S. and worldwide. Through its in-house business
development, merchandising, advertising and public relations
departments, Iconix manages its brands to drive greater consumer
awareness and equity.
Forward-Looking Statements
In addition to historical information, this press release
contains forward-looking statements within the meaning of the
federal securities laws. Such forward-looking statements include
projections regarding the Company's beliefs and expectations about
future performance and, in some cases, may be identified by words
like "anticipate," "assume," "believe," "continue," "could,"
"estimate," "expect," "intend," "may," "plan," "potential,"
"predict," "project," "future," "will," "seek" and similar terms or
phrases. These statements are based on the Company's beliefs and
assumptions, which in turn are based on information available as of
the date of this press release. Forward-looking statements involve
known and unknown risks and uncertainties, which could cause actual
results to differ materially from those contained in any
forward-looking statement and could harm the Company's business,
prospects, results of operations, liquidity and financial condition
and cause its stock price to decline significantly. Many of these
factors are beyond the Company's ability to control or predict.
Important factors that could cause the Company's actual results to
differ materially from those indicated in the forward-looking
statements include, among others: the ability of the Company's
licensees to maintain their license agreements or to produce and
market products bearing the Company's brand names, the Company's
ability to retain and negotiate favorable licenses, the Company's
ability to meet its outstanding debt obligations and the events and
risks referenced in the sections titled "Risk Factors" in the
Company's Annual Report on Form 10‑K for the year ended
December 31, 2016 and subsequent Quarterly Reports on
Form 10‑Q and in other documents filed or furnished with the
Securities and Exchange Commission. Our forward-looking statements
do not reflect the potential impact of any acquisitions, mergers,
dispositions, business development transactions, joint ventures or
investments we may enter into or make in the future. Given these
uncertainties, you should not place undue reliance on these
forward-looking statements. These forward-looking statements are
made only as of the date hereof and the Company undertakes no
obligation to update or revise publicly any forward-looking
statements, except as required by law.
Media contact:
David K. Jones
Executive Vice President and Chief Financial
Officer
Iconix Brand Group, Inc.
djones@iconixbrand.com
212-819-2069
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SOURCE Iconix Brand Group, Inc.