Popular toymaker Hasbro has revealed, this week, their plan to acquire studio Entertainment One (eOne). This all-cash deal carries a value of $4 billion and, once completed, will bring big toy brands like Nerf and My Little Pony together with major licensed properties like Peppa Pig and PJ Masks.
In the deal, eOne executives will join the team at Hasbro. Hasbro CEO Brian Goldner focuses attention on the potential this unification has with the strength of eOne as an independent studio and the endurance of Hasbro’s intellectual property.
The prospects of this deal might make more sense if you recognize that Hasbro struck a deal with Paramount Pictures, in 2017, as a means to produce both live-action and animated films based on their intellectual property. Executives now indicate that this deal will continue, opening up more opportunity to add eOne’s properties to Hasbro’s already long list of potential production properties through Paramount.
Indeed, Goldner comments, “The acquisition of eOne adds beloved story-led global family brands that deliver strong operating returns to Hasbro’s portfolio and provides a pipeline of new brand creation driven by family-oriented storytelling, which will now include Hasbro’s IP.”
You probably aren’t even aware that eOne has quite an impressive library of television properties, as well as theatrical distribution rights. And the reason you may not be aware of their success is that eOne primarily operates in Canada and the UK, as well as Benelux and Australia. This deal, then, could help the company break more ground in the highly competitive US market.
Goldner goes on to say, “In addition, Hasbro will leverage eOne’s immersive entertainment capabilities to bring our portfolio of brands that have appeal to gamers, fans, and families to all screens globally and realize full franchise economics across our blueprint strategy for shareholders. We are excited to welcome eOne’s talented employees from around the world into the Hasbro family.”