Funko Announces Amendment and Extension of Existing Credit Agreement

Key Terms

credit agreement financial

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financial covenants financial

Financial covenants are rules written into loan or bond agreements that require a company to keep certain financial measures within agreed limits—examples include minimum cash, maximum debt levels, or minimum profit margins. They act like guardrails for lenders: breaking a covenant can force renegotiation, trigger penalties or default, and quickly affect a company’s available cash and stock value, so investors watch them as early warning signs of financial stress.

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EVERETT, Wash.--(BUSINESS WIRE)-- Funko, Inc. (Nasdaq: FNKO), a leading pop culture lifestyle brand, today announced that it has successfully amended and extended its existing credit agreement, originally dated September 17, 2021.

The amendment extends the maturity date of the loans under the company’s credit agreement from September 17, 2026 to December 31, 2027 and waives and/or modifies certain financial covenants, in exchange for, among other things, revisions to pricing terms.

Funko’s Chief Financial Officer, Yves Le Pendeven said, “This agreement provides us with additional financial strength and flexibility and, importantly, time for our growth initiatives to take hold and gain traction. We’re thrilled to continue building on the positive momentum we’ve generated with our partners and retailers during this year’s Toy Fair season. We appreciate the strong support and commitment of our banking partners.”

JPMorgan Chase Bank, N.A., serves as administrative agent for the credit agreement. Moelis & Company LLC serves as a financial adviser to the company.

Additional details regarding the amended credit agreement are available in the company’s current report on Form 8-K filed today with the Securities and Exchange Commission.

About Funko:

Funko is a leading global pop culture lifestyle brand, with a diverse collection of brands, including Funko, Loungefly and Mondo, and an industry-leading portfolio of licenses. Funko delivers industry-defining products that span vinyl figures, micro-collectibles, fashion accessories, apparel, plush, action toys, high-end art, and music collectibles, many of which are at the forefront of the growing Kidult economy. Through these products, which include the iconic original Pop! line, Bitty Pop!, and Pop! Yourself, Funko inspires fans across the globe to express their passions, build community, and have fun. Founded in 1998 and headquartered in Washington state, Funko has offices, retail locations, operations, and licensed partnerships in major consumer geographies across the globe. Learn more at Funko.com, Loungefly.com and MondoShop.com, and follow us on TikTok, X and Instagram.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including statements regarding the Company’s financial condition and execution of its strategic priorities. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: risks relating to our indebtedness, including our ability to comply with financial and negative covenants under our credit agreement, as amended, and our ability to continue as a going concern; our ability to execute our business strategy; our ability to manage our inventories and growth; our ability to maintain and realize the full value of our license agreements; impacts from economic downturns; changes in the retail industry and markets for our consumer products; our ability to maintain our relationships with retail customers and distributors; our ability to compete effectively; fluctuations in our gross margin; our dependence on content development and creation by third parties; the ongoing level of popularity of our products with consumers; and our ability to develop and introduce products in a timely and cost-effective manner. These and other important factors discussed under the caption “Risk Factors” in our quarterly report on Form 10-Q for the quarter ended September 30, 2025, and our other filings with the Securities and Exchange Commission could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260213508490/en/

Investor Contact:

investorrelations@funko.com

Media Contact:

pr@funko.com

Source: Funko, Inc.