Form 8-K

8-K — Kartoon Studios, Inc.

Accession: 0001683168-26-005589

Filed: 2026-07-17

Period: 2026-07-17

CIK: 0001355848

SIC: 7812 (SERVICES-MOTION PICTURE & VIDEO TAPE PRODUCTION)

Item: Other Events

Item: Financial Statements and Exhibits

Documents

8-K — kartoon_8k.htm (Primary)

EX-99.1 — PRESS RELEASE DATED 7-17-26 (kartoon_ex9901.htm)

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8-K — CURRENT REPORT

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities

Exchange Act of 1934

Date of Report (Date of earliest event

reported): July 17, 2026

KARTOON

STUDIOS, INC.

(Exact name of registrant as specified in its charter)

Nevada

(State or other jurisdiction

of incorporation or organization)

001-37950

(Commission

File Number)

20-4118216

(I.R.S. Employer

Identification No.)

190

N. Canon Drive, 4th Fl., Beverly

Hills, CA 90210

(Address of principal executive

offices) (Zip Code)

(310) 273-4222

Registrant’s telephone number, including area code

Check the appropriate box below if the Form 8-K filing is intended

to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, par value $0.001 per share

TOON

NYSE American

LLC

Indicate by check mark whether the registrant is an emerging growth

company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange

Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant

has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant

to Section 13(a) of the Exchange Act. ☐

Item 8.01. Other Events.

On July 17, 2026, Kartoon Studios, Inc. (the “Company”)

issued a press release announcing it has sold its interest in Federator Networks, Inc. which operated the Federator Channel network business,

for a cash payment of $500,000. The Company will retain key intellectual property of Frederator Studios, including Bee and PuppyCat, Bravest

Warriors, Castlevania and Catbug, for distribution and product licensing opportunities, for distribution and product licensing opportunities.

The information in the press release is furnished

as Exhibit 99.1 to this Current Report on Form 8-K and shall not be deemed to be “filed” for purposes of Section 18 of the

Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section or Sections 11 and 12(a)(2) of the

Securities Act of 1933, as amended and shall not be incorporated by reference into any filing with the U.S. Securities and Exchange Commission

made by the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing. The

press release furnished as Exhibit 99.1 to this Current Report on Form 8-K includes “safe harbor” language pursuant to the

Private Securities Litigation Reform Act of 1995, as amended, indicating that certain statements contained therein are “forward-looking”

rather than historical.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

The following exhibits are

furnished herewith:

Exhibit No.

Description

99.1

Press release issued by Kartoon Studios, Inc., dated July 17, 2026

104

Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange

Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

KARTOON STUDIOS, INC.

Date: July 17, 2026

By:

/s/ Andy Heyward

Name:

Andy Heyward

Title:

Chief Executive Officer

EX-99.1 — PRESS RELEASE DATED 7-17-26

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Exhibit 99.1

Kartoon Studios

Advances IP-Focused Strategy with Sale of Frederator Channel Network Business

Company Retains Key Frederator Studios IP

For Licensing Opportunities

Strategic Transaction Continues Company’s

Realignment Towards the Monetization of Premium Intellectual Property

BEVERLY HILLS, Calif., July 17, 2026 -- Kartoon Studios, Inc.

(NYSE American: TOON) (“Kartoon Studios” or the “Company”), a global entertainment company creating, producing, distributing

and licensing children’s and family content, today announced the strategic sale of Frederator Networks’ Channel Network business in an

all-cash transaction. Kartoon Studios will retain key intellectual property of Frederator Studios, including Bee and PuppyCat, Bravest

Warriors, Castlevania and Catbug, for distribution and product licensing opportunities.

The strategic sale advances Kartoon Studios’ ongoing strategy to align

its operating structure and resources on monetization of premium intellectual property, franchise development, animation production, global

distribution and consumer-products commercialization.

“The transaction separates two businesses with different operating

models, margin profiles and growth priorities,” commented Andy Heyward, Chairman and Chief Executive Officer of Kartoon Studios.

“Key to this transaction, we are retaining key intellectual property of Frederator Studios, its creative talent and core properties,

along with key channels that support our franchises. We believe this transaction makes Kartoon Studios a more focused company and better

positions our team to continue executing on our strategic realignment towards the monetization of premium intellectual property.”

Total cash consideration paid to Kartoon Studios totaled $500,000 for

the Frederator Networks’ Channel Network business.

About Kartoon Studios

Kartoon Studios (NYSE American: TOON) is a global, vertically integrated children’s and family entertainment company turning owned

and controlled intellectual property into enduring, multi-platform franchises. The Company develops, produces, distributes, licenses and

monetizes content across the full value chain, creating multiple revenue opportunities and long-term brand value.

Kartoon Studios’ growth portfolio includes Hundred Acre Wood

and the Stan Lee Universe, alongside established brands and an extensive programming library. The Company operates Mainframe Studios

and Toon Media Networks, as well as Beacon Media Group, a full-service marketing, communications, and media agency subsidiary of Kartoon

Studios focused on children and family. Together, these assets provide production capabilities, direct audience access and distribution

across linear television, AVOD, SVOD, FAST channels and streaming platforms in more than 60 territories. Kartoon Studios is focused on

converting its intellectual property, infrastructure and global reach into scalable franchise growth and long-term shareholder value.

For more information, visit www.kartoonstudios.com.

Important Cautions Regarding Forward-Looking Statements

Certain statements in this press release that are not historical facts

may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as

amended, and are subject to risks and uncertainties. Forward-looking statements include statements concerning the strategic transaction

continuing the Company’s realignment towards the monetization of premium intellectual property; the strategic sale advancing Kartoon

Studios’ ongoing strategy to align its operating structure and resources on monetization of premium intellectual property, franchise development,

animation production, global distribution and consumer-products commercialization and the transaction making Kartoon Studios a more focused

company and better positioning its team to continue executing on our strategic realignment towards the monetization of premium intellectual

property Words such as “anticipate,” “believe,” “continue,” “could,” “estimate,”

“expect,” “forecast,” “intend,” “may,” “plan,” “potential,” “project,”

“should,” “will” and similar expressions are intended to identify forward-looking statements, although not all

forward-looking statements contain these identifying words. These statements are based on the Company’s current plans, estimates,

assumptions and expectations and are not guarantees that such plans, estimates or expectations will be achieved. Actual events, results

and performance may differ materially from those expressed or implied by these forward-looking statements due to various risks, uncertainties

and other factors, including the Company’s ability to execute its business strategy and growth initiatives; the Company’s

ability to monetize premium intellectual property, the Company’s ability to protect its intellectual property and other risks described

under the heading “Risk Factors” in Part I, Item 1A of the Company’s most recent Annual Report on Form 10-K and in its

other filings with the Securities and Exchange Commission, which are available at www.sec.gov. Additional risks and uncertainties that

are not currently known to the Company or that the Company currently considers immaterial may also cause actual events, results or performance

to differ materially from those expressed or implied by the forward-looking statements. All forward-looking statements speak only as of

the date of this press release, and Kartoon Studios undertakes no obligation to publicly update or revise any forward-looking statement,

whether as a result of new information, future events or otherwise, except as required by law.

INVESTOR RELATIONS CONTACT:

Lytham Partners, LLC

Robert Blum

602-889-9700

toon@lythampartners.com

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