Daktronics gets $100M in new capital commitments

Daktronics, which had to declare a going concern in late 2022 due to evaporating cash flow, announced late Thursday that it has secured $100M in capital commitments, including a new three-year, $75M credit line from JPMorgan Chase, and a $25M convertible debt financing agreement with major shareholder Alta Fox Capital Management. Daktronics’ credit line with JPMorgan Chase replaces the $35M credit facility it had with US Bank, and JPMorgan Chase becomes the company’s primary commercial bank. All debt obligations to US Bank were paid off prior to the switch.

Jefferies LLC served as financial advisor, and Vinson & Elkins LLP and Winthrop & Weinstine, P.A. served as legal counsel to Daktronics, one of the sports industry’s top providers of digital displays and scoreboards, throughout the process.