Hasbro Announces Agreement to Sell eOne Film & TV Business to Lionsgate
Hasbro, Inc. (NASDAQ:HAS) a leading toy and game company, today announced that it has reached a definitive agreement to sell its eOne film and TV business to Lionsgate for approximately $500 million, consisting of $375 million in cash, subject to certain purchase price adjustments, and the assumption by Lionsgate of production financing loans. The transaction has been approved by both companies’ Boards of Directors and remains subject to customary closing conditions, including the receipt of regulatory approvals. Hasbro will use the proceeds to retire a minimum of $400 million of floating rate debt by the end of the year, and for other general corporate purposes. The transaction is expected to close by the end of 2023.
The sale will include a talented team of employees, a content library of nearly 6,500 titles, active productions for non-Hasbro owned IP like The Rookie, Yellowjackets and Naked and Afraid franchises, and the eOne unscripted business, which will include rights for certain Hasbro-based shows like Play-Doh Squished. The eOne film and TV business being sold also includes Hasbro’s interest in the Canadian film & TV operations of Entertainment One Canada Limited, and the transaction has also been approved by Entertainment One Canada Limited’s Board of Directors.
Today’s announcement is the culmination of a rigorous sale process in connection with Hasbro’s recent strategic review and represents a significant milestone in Hasbro’s commitment to executing its Blueprint 2.0 strategy, which at its core is about significantly increasing investment in Hasbro’s priority brands. In addition to Hasbro’s animation efforts that include Peppa Pig, Transformers: EarthSpark, and My Little Pony: Tell Your Tale, the company will retain a focused team of creative development and business affairs experts to shepherd the 30+ Hasbro-based projects in development, working with the best studios and distribution platforms in Hollywood, including ongoing development of the TRANSFORMERS and GI JOE franchises, PLAY-DOH, D&D, MAGIC: THE GATHERING and Hasbro’s board game portfolio.
Read the source article at Business Wire
