Hasbro completes eOne takeover

Entertainment One’s Peppa Pig

US toy giant Hasbro has completed its US$3.8bn acquisition of Canadian prodco Entertainment One (eOne).

The deal adds global brands such as Peppa Pig and PJ Masks to the toyco’s arsenal and has resulted in stock in eOne being suspended on the London Stock Exchange.

Under terms of the deal, eOne shareholders received £5.60 (US$7.40) in cash for each common share.

Darren Throop, president and CEO of eOne, will now report to Hasbro chairman and CEO Brian Goldner. In addition, eOne president of family and brands Olivier Dumont, president of film and television Steve Bertram and global president of music Chris Taylor will join Hasbro, reporting to Throop.

“We are excited about what we can do together and see tremendous opportunity for shareholder value creation through this acquisition,” said Goldner.

“Our businesses are highly complementary, with substantial synergies and a great cultural fit. The addition of eOne accelerates our blueprint strategy by expanding our brand portfolio with eOne’s beloved global preschool brands, adding proven TV and film expertise and creating additional opportunities for long-term profitable growth. We are pleased to welcome the incredibly talented eOne team to our company.”

The deal remains under investigation by UK regulator the Competition & Markets Authority (CMA), which is examining whether the merger would cause a “substantial lessening of competition” in the UK.

The deadline for the CMA to announce its decision whether to refer the merger for the next stage of the investigation is January 21.

The combined entity will have offices in London, LA, Toronto, New York, Hong Kong, Melbourne and Shanghai.

eOne’s Canadian TV and film operations will remain a separate Canadian-controlled subsidiary within the combined business. Included in the deal are eOne’s TV production assets such as Whizz Kid Entertainment, Renegade 83 and Daisybeck Studios.