It was announced today (14th January 2025) that Diamond Comic Distribution has filed a voluntary petition for bankruptcy in the US.
While this impacts all assets under the Diamond Comic banner including Gentle Giant and the Diamond Select figure & statue brand, the voluntary petition will allow the business to seek refinancing and to consider the sale of assets to support a restructuring of the business with a deal already agreed for Universal Distribution to pick up Diamond UK distribution.
What this means for the industry is as yet unclear. Diamond have indicated there is no change to the distribution of comics or products at this time, but we have to worry about future releases that may or may not now make it to market.
Full press release as follows
HUNT VALLEY, Md.--(BUSINESS WIRE)--Diamond Comic Distributors (“Diamond” or “the Company”), today announced that it has filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Maryland to facilitate the restructuring of its business. As part of the restructuring process, Diamond has received a $39 million stalking horse bid from an affiliate of Universal Distribution (“Universal”) for Alliance Game Distributors.
The Company has received commitments for up to $41 million in debtor-in-possession (DIP) financing from JP Morgan Chase that will be used to fund post-petition operating expenses and ensure adequate working capital to meet its obligations to associates and suppliers.
In addition to securing DIP financing, and a stalking horse bid for Alliance Game Distributors, Diamond has received strong interest in its specialized business divisions, having also entered into a Non-Binding Letter of Intent (LOI) with Universal to acquire Diamond UK. Diamond is actively pursuing offers for, and has received interest from potential purchasers for, its other business units, including Diamond Book Distributors, Collectible Grading Authority, and Diamond Select Toys, as well as its main comic, toy, and collectible distribution lines.
“Diamond has been a linchpin of the comic book industry for over four decades. Our priority has always been to provide quality service to publishers, retailers, and, ultimately, comic fans, and we remain committed to finding additional buyers for our businesses,” said President Chuck Parker.
“Universal Distribution is looking forward to working with the Alliance and Diamond UK teams to bring a stronger balance sheet and growth opportunities to retailers and suppliers. Both companies have deep roots in the industry, and we look forward to continuing that into the future,” said Angelo Exarhakos, President and CEO of Universal.
About Diamond Comic DistributorsFounded in 1982, Diamond Comic Distributors offers a multi-channel platform of publishing, marketing and fulfillment services, coupled with an unparalleled global distribution network for its retailers, publishers and vendors. Diamond’s mission is simple: to provide our customers the best in products, price and personalized service. Learn more at https://www.diamondcomics.com/.
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About Me : As a child of the '70s and '80s I grew up in a golden age for action figures and in my youth bought and sold myself through collections of Star Wars, G.I. Joe (Action Force), and M.A.S.K. while also dabbling in He-Man, Transformers and Ghostbusters. Roll forward and I am now reliving that Youth with the action figures of today and am a collector and fan of the larger 6-8 inch figures from my favourite movie and TV licenses - including the ones mentioned above, but also the Marvel Cinematic Universe, Doctor Who, and the Aliens. I launched The Mephitsu Archives in 2015 with a view of creating a UK-focused site or these figures where fans can pick up the latest action figure news, read reviews and get information on where to buy their figures and what is currently on store shelves. I hope I am delivering that to you guys...
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