PLBY Group converted 25% of its Series B Preferred Stock into Common Stock to streamline its balance sheet.
Quiver AI Summary
PLBY Group, Inc., the owner of Playboy, announced the conversion of 25% of its Series B Convertible Preferred Stock into common stock as part of its efforts to streamline its balance sheet and reduce leverage. The conversion involved 7,000 shares of Series B Stock being converted into 3,784,688 shares of common stock at a price of $1.85 per share, roughly 23% higher than the previous agreement price with Byborg Enterprises SA. Following this exchange, PLBY Group will have 21,000 Series B shares outstanding and 93,736,325 common shares. The company did not receive any cash proceeds from this transaction and may consider further conversions based on stock performance and market conditions.
Potential Positives
- The conversion of 25% of Series B Convertible Preferred Stock into Common Stock is a strategic move aimed at streamlining the balance sheet and deleveraging the company.
- The conversion was executed at a price that represents a 23% premium compared to a recent securities purchase agreement, indicating positive market sentiment and valuation.
- By reducing the number of outstanding Series B Stock, the company improves its equity structure, which could enhance financial stability and investor confidence.
- The statement reflects PLBY Group's commitment to strategic growth and financial management, potentially positioning the company for future opportunities in a competitive market.
Potential Negatives
- The conversion of preferred stock to common stock without receiving any proceeds may indicate a lack of financial flexibility or cash flow challenges for the Company.
- The necessity of streamlining the balance sheet suggests potential financial instability or previous mismanagement of capital that necessitated this conversion.
- The Company faces risks related to maintaining its Nasdaq listing, which could imply concerns about its market position and investor confidence.
FAQ
What recent financial move did PLBY Group announce?
PLBY Group announced the conversion of 25% of its Series B Convertible Preferred Stock into common stock.
How many shares were converted in the transaction?
7,000 shares of Series B Stock were converted into 3,784,688 shares of Common Stock.
What was the conversion price for the shares?
The conversion price was set at $1.85 per share, reflecting a 23% premium.
What is PLBY Group's mission statement?
PLBY Group's mission is to create a culture where all people can pursue pleasure and promote equality and freedom of expression.
How does this conversion impact the outstanding shares?
Following the conversion, PLBY Group has 21,000 shares of Series B Stock and 93,736,325 shares of Common Stock outstanding.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$PLBY Insider Trading Activity
$PLBY insiders have traded $PLBY stock on the open market 6 times in the past 6 months. Of those trades, 0 have been purchases and 6 have been sales.
Here’s a breakdown of recent trading of $PLBY stock by insiders over the last 6 months:
- BERNHARD L III KOHN (CEO & President) has made 0 purchases and 4 sales selling 286,914 shares for an estimated $169,639.
- CHRISTOPHER RILEY (General Counsel & Secretary) has made 0 purchases and 2 sales selling 87,901 shares for an estimated $55,332.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$PLBY Hedge Fund Activity
We have seen 15 institutional investors add shares of $PLBY stock to their portfolio, and 32 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- SFMG, LLC added 89,000 shares (+21.7%) to their portfolio in Q3 2024, for an estimated $67,497
- SUSQUEHANNA INTERNATIONAL GROUP, LLP removed 65,316 shares (-74.2%) from their portfolio in Q3 2024, for an estimated $49,535
- HRT FINANCIAL LP added 36,799 shares (+inf%) to their portfolio in Q3 2024, for an estimated $27,908
- MILLENNIUM MANAGEMENT LLC removed 36,198 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $27,452
- KOLINSKY WEALTH MANAGEMENT, LLC added 31,945 shares (+inf%) to their portfolio in Q3 2024, for an estimated $24,227
- J2 CAPITAL MANAGEMENT INC added 29,400 shares (+inf%) to their portfolio in Q4 2024, for an estimated $42,924
- NORTHERN TRUST CORP removed 24,256 shares (-13.6%) from their portfolio in Q3 2024, for an estimated $18,395
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
LOS ANGELES, Jan. 31, 2025 (GLOBE NEWSWIRE) -- PLBY Group, Inc. (NASDAQ: PLBY) (“PLBY Group” or the “Company”), owner of Playboy, one of the most recognizable and iconic brands in the world, today announced that it has converted 25% (the “Conversion”) of its outstanding shares of Series B Convertible Preferred Stock (the “Series B Stock”) into shares of its common stock (the “Common Stock”) as part of an ongoing streamlining of the balance sheet and deleveraging of the Company.
The Company converted 7,000 shares of its 28,000.00001 Series B Stock into 3,784,688 shares of the Company’s Common Stock at a conversion price of $1.85 per share in accordance with the terms of the Series B Stock. The conversion price represents an approximate 23% premium to the price per share in the securities purchase agreement that the Company entered into with Byborg Enterprises SA in December 2024. As a result of the Conversion, the Company reduced the number of shares of Series B Stock outstanding to 21,000.00001 shares and had 93,736,325 shares of Common Stock outstanding. The Company did not receive any proceeds in connection with the Conversion.
The Company may elect to convert additional Series B Stock in the future based on the Common Stock price and/or redeem additional Series B Stock for cash.
About PLBY Group, Inc.
PLBY Group, Inc. is a global pleasure and leisure company connecting consumers with products, content, and experiences that help them lead more fulfilling lives. PLBY Group’s flagship consumer brand, Playboy, is one of the most recognizable brands in the world, with products and content available in approximately 180 countries. PLBY Group’s mission—to create a culture where all people can pursue pleasure—builds upon over 70 years of creating groundbreaking media and hospitality experiences and fighting for cultural progress rooted in the core values of equality, freedom of expression and the idea that pleasure is a fundamental human right. Learn more at
http://www.plbygroup.com
.
Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. The Company’s actual results may differ from their expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect”, “estimate”, “project”, “budget”, “forecast”, “anticipate”, “intend”, “plan”, “may”, “will”, “could”, “should”, “believes”, “predicts”, “potential”, “continue”, and similar expressions (or the negative versions of such words or expressions) are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the Company’s expectations with respect to future performance, growth plans and anticipated financial impacts of its strategic opportunities and corporate transactions. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from those discussed in the forward-looking statements. Factors that may cause such differences include, but are not limited to: (1) the inability to maintain the listing of the Company’s shares of common stock on Nasdaq; (2) the risk that the Company’s completed or proposed transactions disrupt the Company’s current plans and/or operations, including the risk that the Company does not complete any such proposed transactions or achieve the expected benefits from any transactions; (3) the ability to recognize the anticipated benefits of corporate transactions, commercial collaborations, commercialization of digital assets, cost reduction initiatives and proposed transactions, which may be affected by, among other things, competition, the ability of the Company to grow and manage growth profitably, and the Company’s ability to retain its key employees; (4) costs related to being a public company, corporate transactions, commercial collaborations and proposed transactions; (5) changes in applicable laws or regulations; (6) the possibility that the Company may be adversely affected by global hostilities, supply chain delays, inflation, interest rates, foreign currency exchange rates or other economic, business, and/or competitive factors; (7) risks relating to the uncertainty of the projected financial information of the Company, including changes in the Company’s estimates of cash flows and the fair value of certain of its intangible assets, including goodwill; (8) risks related to the organic and inorganic growth of the Company’s businesses, and the timing of expected business milestones; (9) changing demand or shopping patterns for the Company’s products and services; (10) failure of licensees, suppliers or other third-parties to fulfill their obligations to the Company; (11) the Company’s ability to comply with the terms of its indebtedness and other obligations; (12) changes in financing markets or the inability of the Company to obtain financing on attractive terms; and (13) other risks and uncertainties indicated from time to time in the Company’s annual report on Form 10-K, including those under “Risk Factors” therein, and in the Company’s other filings with the Securities and Exchange Commission. The Company cautions that the foregoing list of factors is not exclusive, and readers should not place undue reliance upon any forward-looking statements, which speak only as of the date which they were made. The Company does not undertake any obligation to update or revise any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based.
Contact:
Investors: FNK IR – Rob Fink / Matt Chesler, CFA –
investors@plbygroup.com
Media:
press@plbygroup.com
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
