Jakks Confirms Oaktree's Bid, Hostile Threats

By Features FOXBusiness

Toymaker Jakks Pacific (JAKK) confirmed receipt of a $670 million bid by Oaktree Capital Management Funds on Wednesday, as well as its threats to turn hostile if needed, and said it will carefully consider the offer with the advice of financial and legal advisors.

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Oaktree publicly offered $20 a share to take Jakks private late Tuesday after it said Jakks repeatedly declined to pursue meaningful discussions with the company regarding options.

The offer by Oaktree, which is one of Jakks largest shareholders with a stake of 4.9%, represents a 25% premium over the companys closing price earlier that day.

Oaktree said it has attempted to engage in conversations since March, but Jakks has repeatedly rebuffed its efforts. While economic conditions have deteriorated, Oaktree said Jakks' prospects have not improved.

The company said it is willing to increase the price of the offer if the company can demonstrate further value over the course of our due diligence process. It warned that it would be willing to take the bid directly to shareholders should the need arise.

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