Chernin Group Leads Acquisition of 25% Pop Culture Lifestyle Brand Funko; Peter Chernin and Bob Iger advise his advice

Chernin Group is conducting a strategic $ 263 million investment in pop culture lifestyle brand Funko, with stakeholders Bob Eiger and sports agent Rich Paul.

Peter Chernin and Iger, who completed their long careers at Disney last year, will join Funko’s Board of Advisors. Paul, CEO and founder of Klutch Sports and Head of Sports for UTA, should use his experience in the sports and music industry to help Funko expand.

In the agreement, Chernin Group and its investors purchase over 12.5 million shares of ACON Investments, which represent 80% of the company’s stake. This will give TCG 25% of Funko after closing the transaction.

In addition to Iger and Paul, other investors include eBay, which will become a favorite aftermarket for Funko. According to the official announcement, the two companies will also be recruited for the launch of exclusive products.

With the new investment, TCG will appoint two directors to the company’s board of directors, including a co-founder and a partner. jesse jacobs.

Following the announcement of the deal, Funko shares were up 27% in after-hour trading.

“We feel that Funko is not valued significantly in public markets and the price of this very attractive item offers opportunities and potential for growth,” said Chernin. “There are many areas of identifiable growth in content, commerce, markets, consumer products and technology, which should lead to a significant increase in Funko’s work.”

TCG has identified several strategic opportunities for Funko. The company sees the potential to expand its intellectual properties, add physical and digital categories and brands to its platform, grow its business directly with customers, and expand its reach internationally.

Funko CEO Andrew Perlmutter said the purchase was from TCG “It establishes Funko as a leading lifestyle brand that values ​​prejudice in pop culture.” The investment group brings “experience, deep understanding of the markets we serve and the experience of working successfully with entertainment and pop culture companies to create value and drive growth.”

In fiscal year 2021, Funko’s revenue increased 58% to over $ 1 billion. Earlier today, the company announced a 63% increase in first quarter revenue to $ 308 million. Adjusted EBITDA, which stood at $ 150 million for all of 2021, increased 22% in the first quarter.

Chernin, the company he founded after completing his long-term perspective on Fox executives, has invested in the likes of Crunchyroll, Goldin Auctions and Exploding Kittens. The main theme of investing is a passionate and highly engaged customer base.