Knickerbocker Debt

L.L. Knickerbocker Co. Inc., a distributor of celebrity-endorsed collectibles and other products, said Wednesday that it has reached agreement with certain debt holders to restructure their securities.

Three weeks ago, the company had temporarily stopped the holders of $15.5 million worth of debt from converting their debts into stock because of “recent trading activity,” which saw the stock price fall nearly in half to $5.81 a share in three months.

As part of the new agreement, the conversion price is fixed at $8 a share rather than being allowed to float from $5.25 to $12 a share.

The company released information on the agreement after the stock market closed Wednesday. Knickerbocker stock fell 25 cents a share to close at $6.50 on the Nasdaq market.