Playboy Refinances to Help Jumpstart Growth

LOS ANGELES — Playboy Enterprises has completed key financing of $150 million from a single lender that it hopes will help jumpstart brand licensing and media growth.

The company said yesterday that the loan significantly enhances its ability to reposition itself into a lifestyle brand with “a lean, efficient operating structure.”

“By further improving our capital structure with lower cost funding that improves our investment flexibility, Playboy is better positioned to leverage its reinvigorated brand to drive growth in revenue and cash flows through attractive opportunities in global licensing and content, including digital media,” CEO Scott Flanders said in a statement.

He added, “This strategically important refinancing is the direct result of the creative and diligent work of our financial partners and advisors under the direction of EVP/CFO Christoph Pachler and EVP/business affairs Rachel Sagan.”

According to Moody’s Investors Service, Playboy owes $157 million in loans and is seeking to refund $147 million of first-lien debt and its $10 million revolving credit line.

Playboy’s debt will be more than eight times its earnings before interest, taxes, depreciation and amortization this year, and 6.5 times in 2015, according to Standard & Poors (S&P) adjusted figures.

Moody’s Investors Service withdrew Playboy’s B2 corporate rating, and S&P rates the company CCC+, a level reserved for borrowers it deems “currently vulnerable to nonpayment.”

Despite a $35 million debt reduction since 2013, the bid for refinancing still reprsents an uphill battle for the company that’s licensing growth has been offset by dwindling print and a brand suffering from a porn-saturated market.

Some analysts also believe that the single lender possibly indicates that the company had trouble finding a group or investors, or perhaps it’s a new investor willing to take the risk.

Related:  

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Je Joue Names Ian Kulp Head of Global Wholesale & Brand

Pleasure brand Je Joue has appointed Ian Kulp as its new head of global wholesale and brand.

GirlsDoPorn Owner Michael Pratt Sentenced to 27 Years

Michael Pratt, former owner of the website GirlsDoPorn, has been sentenced to 27 years in federal prison.

Sportsheets Releases New Training Video for 'Peaches 'n CreaMe' Collection

Sportsheets has released its latest training video, titled "Peaches ’n CreaMe," hosted by Brand Ambassador Rin Musick.

Full Circle Names Stefanie Neumann Sales Account Executive

Pleasure brand Full Circle has appointed Stefanie Neumann as its new sales account executive.

TrustyFans Introduces New Blog

Creator directory TrustyFans has introduced an official blog to its site, titled "From Hidden to Hype."

Pjur Sponsors Düsseldorf's Sex Now Exhibition

Pjur is sponsoring Sex Now Exhibition at NRW-Forum in Düsseldorf, running through May 3, 2026.

JustFor.fans' Dominic Ford Featured in Wired Magazine

JustFor.fans Founder and CEO Dominic Ford is featured in a new article in Wired Magazine, titled "The Internet Revolutionized Porn. Age Verification Could Upend Everything."

Dr. Charlotte Gaydos Joins ProDx Health Advisory Board

Dr. Charlotte Gaydos has joined the Advisory Board of ProDx Health.

Angelface Baddies Debuts 'Daddies for Baddies' Line

Wellness brand Angelface Baddies has introduced its new Daddies for Baddies line of men's wellness products.

Aylo Fined $5 Million as FTC, Utah Settle Safety Practices Complaint

The Federal Trade Commission and the state of Utah on Wednesday settled a complaint against Aylo, requiring the company to pay a $5 million penalty and implement measures to prevent illegal content from appearing on its sites.

Show More