The disclosure of cash-settled swaps covering 11.5% of shares signals Fund 1 is increasing its economic leverage without triggering voting disclosure limits, suggesting conviction in the thesis. Monitor for a potential 13D amendment with explicit demands or a proxy fight, as the combined exposure is substantial for a company with ~$500M market cap.
Price Chart
Executive Summary
Fund 1 Investments, LLC filed an amended Schedule 13D disclosing a 9.8% beneficial ownership stake in Funko, Inc. (5,497,413 Class A shares) as of September 22, 2026. The filing also reveals the activist has entered into cash-settled total return swaps covering an additional 11.5% of outstanding shares (6,462,462 notional shares), giving it combined economic exposure of approximately 21.3%. The filing shows active trading in the past 60 days with both purchases and sales, but no change in stated purpose or new demands.
Key Financial Metrics
Key Facts
- Fund 1 Investments beneficially owns 5,497,413 Class A shares (9.8% of outstanding) as of September 22, 2026
- Fund 1 entered into cash-settled total return swaps covering 6,462,462 notional shares (11.5% of outstanding), bringing total economic exposure to ~21.3%
- Aggregate purchase price of the 5,497,413 shares is approximately $39,523,665
- Active trading in past 60 days: multiple purchases and sales between $5.28 and $7.22 per share
- No change in stated purpose or new demands disclosed in this amendment
Financial Impact
Fund 1's total economic exposure of ~21.3% (direct + swaps) represents a significant activist position in Funko, with direct stake valued at ~$39.5M at cost
Risk Factors
- Cash-settled swaps do not confer voting rights, limiting direct influence on board composition
- Active trading pattern (both buys and sells) suggests potential short-term volatility from position adjustments
- No explicit demands or strategic alternatives disclosed yet — activist intent remains unclear
Investment Themes
Documents Analyzed
This report is based on 4 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| SC 13D/A Filing (Primary) | 0000921895-26-002624 |
| Document: 0000921895-26-002624-index-headers.html | 0000921895-26-002624 |
| Document: 0000921895-26-002624-index.html | 0000921895-26-002624 |
| Document: 0000921895-26-002624.txt | 0000921895-26-002624 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 16, 2026 9d ago | SC 13D/A | $6.57 | awaiting T+60 | — | $6.68 (+1.75%) |
Sep 22, 2026 4w ago | SC 13D/A | $5.32 | awaiting T+60 | — | $6.68 (+25.66%) |
Sep 4, 2026 7w ago | Insider Cluster | $5.68 | awaiting T+60 | — | $6.68 (−17.69%) |
Sep 3, 2026 7w ago | Insider Cluster | $5.68 | awaiting T+60 | — | $6.68 (+17.69%) |
Aug 28, 2026 8w ago | Insider Cluster | $6.72 | awaiting T+60 | — | $6.68 (−0.52%) |
Aug 26, 2026 8w ago | Insider Buy | $6.74 | awaiting T+60 | — | $6.68 (−0.82%) |
Jun 11, 2026 19w ago | Institutional Cluster | $5.42 $5.68 | ▲ +4.80% | ▲ +0.40% | $6.68 (+23.34%) |
Jun 11, 2026 19w ago | Institutional Cluster | $5.42 $5.68 | ▲ +4.80% | ▲ +0.40% | $6.68 (+23.34%) |
May 7, 2026 24w ago | 8-K | $5.26 $5.76 | ▲ +9.51% | ▲ +4.67% | $6.68 (+27.09%) |
Feb 28, 2026 34w ago | Institutional Cluster | $4.69 $5.27 | ▲ +12.37% | ▲ +3.04% | $6.68 (+42.54%) |
US Market Status
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