Highlights  

  1. Waldencast plc sells its rights to the “Obagi” trademark in Japan for USD 82.5 million. 
  2. Rohto Pharmaceutical fully acquires the Japan trademark it has licensed since 2002. 
  3. The company signs a new USD 225 million three-year secured term loan under the Lumina Credit Agreement. 
  4. Proceeds from both transactions will be used to repay existing facilities and support brand growth. 
  5. Waldencast continues its broad strategic review to enhance shareholder value. 

Waldencast plc(NASDAQ:WALD)has taken a significant financial step with the sale of its rights to the “Obagi” trademark in Japan to Rohto Pharmaceutical Co., Ltd. for USD 82.5 million. Rohto has held the license for the “Obagi” mark in Japan since 2002 and over the years has created a distinct brand specifically tailored for Japanese consumers. This brand operates independently of the global Obagi Medical brand and has no overlap in marketing or operations. Royalties from this long-standing licensing agreement contributed approximately 3% of net revenue to Obagi Medical for the fiscal year ending December 31, 2024. 

The sale allows Rohto to fully own thetrademarkit has built over two decades, while giving Waldencast a meaningful cash inflow to realign its financial structure. This monetization also supports Waldencast’s broader strategy to reinforce itscapitalposition as it continues exploring company-wide strategic alternatives.

New Credit Agreement to Improve Liquidity

Alongside the trademark transaction, Waldencast finalized a newcreditagreement with funds managed by entities of the Lumina Capital Management Ltda. Group. The Lumina Credit Agreement provides a three-year secured first-lien term loan facility valued at USD 225 million. The proceeds, expected no later than November 17, 2025, will be used to fully repay the company’s existing credit facilities and also supportworking capitaland general corporate needs. 

The company plans to use most of the proceeds from the Rohto transaction to quickly repay a large portion of the new loan, supporting further deleveraging. This refinancing step significantly improvesliquidity and gives Waldencast additional covenant flexibility through Q4 2026, enabling investment across its Obagi Medical and Milk Makeup brands.

Ongoing Strategic Review and Corporate Direction

Waldencast has been evaluating a wide range of strategic alternatives aimed at maximizingshareholdervalue. The combination of a major trademark sale and a new financing structure demonstrates the company’s focus on long-term stability and improved capital efficiency. CEO Michel Brousset emphasized that the week’s developments mark an important phase for the company as it works to strengthen its financial footing while assessing various strategic paths. 

Conclusion 

The sale of the “Obagi” trademark in Japan and the establishment of a new credit facility mark pivotal steps in Waldencast’s ongoing repositioning. These actions provide the company with increased liquidity, reduced financialleverage, and the operational room needed to invest in its core brands. As Waldencast continues its comprehensive strategic review, these developments position the company more favorably for future decisions aimed at enhancing long-term shareholder value.