Iconix Brand Group repays $210 million term loan balance in full

By Angela McDaniels

Tacoma, Wash., July 3 – Iconix Brand Group, Inc. paid down about $362 million principal amount of debt, according to a company news release.

This includes the full extinguishment of the $210 million outstanding balance of the company's senior secured term loan and a mandatory payment of about $152 million of the senior secured notes issued under its securitization facility.

The company repaid the debt in conjunction with the sale of its entertainment segment for $345 million of cash, subject to working capital adjustments. The sale included the company's 80% interest in the Peanuts brand and 100% interest in the Strawberry Shortcake brand.

Following these transactions, the company's total debt is about $828 million, which includes about $433 million of senior secured notes, a $100 million variable funding note and about $295 million of convertible notes due 2018.

“Improving the balance sheet has been a key objective of our company, and with the entertainment sale complete we have made significant progress on this objective. In a little more than one year, we have reduced our debt by over $650 million and improved our leverage by approximately two turns,” chief executive officer John Haugh said in the news release.

Iconix owns, licenses and markets a portfolio of consumer brands and is based in New York.

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