PLBY: Arbitration Ruling Orders $81M Payment and IP Cease from New Handong

Rhea-AI Filing Summary

Playboy, Inc. reported that a Hong Kong International Arbitration Centre tribunal ruled in favor of its wholly owned subsidiary Playboy Enterprises International, Inc. against former Chinese licensee New Handong Investment (Guangdong) Co., Ltd. The Tribunal found PEII's termination notice lawful, dismissed New Handong's counterclaims, and ordered New Handong to cease use of Playboy intellectual property and to pay guaranteed royalties, a termination fee, unpaid marketing expenses and other fees and expenses totaling approximately $81 million plus interest. Interest will accrue at 8.25% from the award date if the award is not paid in full by September 20, 2025. The decision is final, and PEII may seek enforcement in China if New Handong does not comply. The Company issued a press release on September 8, 2025; a copy is attached as Exhibit 99.1.

Positive

• Final arbitration award of approximately $81 million in favor of PEII
• Termination notice upheld, strengthening PEII's contractual position
• Counterclaims dismissed, removing legal exposure from New Handong's defenses
• Tribunal ordered cessation of New Handong's use of Playboy intellectual property

Negative

• No assurance of collectability; filing states New Handong may not pay the award
• Enforcement risk in China may delay or reduce actual recovery despite the final award
• Monetary recovery timing uncertain pending potential Chinese court proceedings

Insights

Financial Analyst

TL;DR: A final arbitration award of ~$81M in Playboy's favor is material and could improve recoverable receivables if collectible.

The Tribunal's decision removes counterclaim exposure and affirms termination rights, creating a clear legal basis for recovery of receivables and cessation of unauthorized brand use. The award amount is explicit and significant relative to the company's reported number in the filing. Materiality will depend on collectability and the success of enforcement efforts in China; the filing expressly notes no assurance of compliance. Investors should view this as a favorable legal outcome with execution risk related to cross-border enforcement and timing of cash recovery.

Corporate Governance / Legal Expert

TL;DR: The final tribunal ruling strengthens PEII's contractual and IP position but enforcement in China remains an open operational challenge.

The Tribunal found the termination lawful, ordered cessation of IP use, dismissed counterclaims and awarded monetary damages plus interest. Legally, the decision is binding on the parties; operationally, the Company acknowledges potential need to pursue Chinese court enforcement. The 8.25% post-award interest and the specified deadline create a clear timetable for pressure on the respondent, but cross-jurisdictional enforcement outcomes can be uncertain and may affect timing and amount of recovery.

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): September 5, 2025

PLAYBOY, INC.

(Exact name of registrant as specified in its charter)

Delaware

001-39312

37-1958714

(State or other jurisdiction of incorporation)

(Commission File Number)

(IRS Employer Identification No.)

10960 Wilshire Blvd., Suite 2200 Los Angeles, California						90024
(Address of principal executive offices)						(Zip Code)

Registrant’s telephone number, including area code: (310) 424-1800

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐			Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐			Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐			Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐			Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class			Trading Symbol(s)			Name of each exchange on which registered
Common Stock, par value $0.0001 per share			PLBY			Nasdaq Global Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 8.01    Other Events.

On September 5, 2025, a wholly-owned subsidiary of Playboy, Inc. (the “Company”), Playboy Enterprises International, Inc. (together with certain of its wholly-owned subsidiaries, “PEII”), received the decision of a tribunal of the Hong Kong International Arbitration Centre (the “Tribunal”) in connection with the arbitration proceeding initiated in February 2024 by PEII against New Handong Investment (Guangdong) Co., Ltd. (“New Handong”), a former Chinese licensee of PEII. As described in further detail in the Company’s periodic reports, including most recently in the Company’s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2025, filed with the U.S. Securities and Exchange Commission on August 12, 2025, the arbitration proceeding addressed various claims by PEII and counterclaims by New Handong relating to the termination of New Handong’s license agreement for ongoing, uncured material breaches of such agreement by New Handong.

The Tribunal found in favor of PEII in connection with its claims and as a result ordered, among other things, that: (i) the termination notice issued by PEII to New Handong was found to be lawful and effective, (ii) New Handong must cease any further use of Playboy property and materials, including but not limited to the production, sale, or distribution of Playboy-branded products, (iii) New Handong is required to make payments to PEII for guaranteed royalties outstanding at the time of termination, a termination fee, and unpaid marketing expenses, plus interest thereon, and certain other fees and expenses, totaling approximately $81 million, and (iv) all of New Handong’s counterclaims were dismissed. In addition, per the terms of the Tribunal’s decision, if payment of amounts awarded to PEII are not made in full to PEII by September 20, 2025, interest will accrue on the amounts owed from the award date to the date of payment at a rate of 8.25%. The decision of the Tribunal is final; however, if New Handong does not comply with such decision, PEII and the Company may seek enforcement of such decision in China through the Chinese courts.

The Company intends to take every step necessary to ensure that PEII, and through it the Company, obtains recovery of the approximately $81 million award in full and without delay, and that New Handong complies with the Tribunal’s restrictions on New Handong’s activities with respect to the Playboy brand and related products. If New Handong fails to discharge its payment obligations to PEII, or engages in prohibited activities, then the Company intends to promptly commence proceedings for enforcement. However, there can be no assurance that New Handong will comply with the Tribunal’s decision, including making the required monetary payments to PEII and the Company within the timeframe that was ordered, if at all.

On September 8, 2025, the Company issued a press release regarding the foregoing. A copy of such press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01    Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.						Description
99.1						Press Release, dated September 8, 2025
104						Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: September 8, 2025			PLAYBOY, INC.
			By:			/s/ Chris Riley
			Name:			Chris Riley
			Title:			General Counsel & Secretary

FAQ

What did Playboy (PLBY) receive from the arbitration with New Handong?

The Tribunal awarded Playboy Enterprises International, Inc. approximately $81 million plus interest and ordered New Handong to cease use of Playboy property.

Is the arbitration decision final and when must New Handong pay?

Yes, the Tribunal's decision is final. If payment is not made in full by September 20, 2025, interest accrues at 8.25% from the award date.

Were New Handong's counterclaims successful?

No. The Tribunal dismissed all of New Handong's counterclaims according to the filing.

Will Playboy automatically receive the $81 million award?

Not automatically. The filing states PEII may need to seek enforcement in China if New Handong does not comply, and there is no assurance of payment.

Did Playboy stop New Handong from selling Playboy-branded products?

Yes. The Tribunal ordered New Handong to cease any further use of Playboy property, including production, sale, or distribution of Playboy-branded products.