Hasbro Is Paying $4 Billion For ‘Peppa Pig’ Owner Entertainment One

Are you ready for the Peppa Piggaverse?

American toymaker Hasbro has entered into a definitive agreement to acquire Entertainment One (EOne), the Canadian company that owns Peppa Pig, PJ Masks, and the upcoming preschool series Ricky Zoom. Hasbro will pay $4 billion for EOne in an all-cash transaction.

It’s a hefty price for preschool shows — the Walt Disney Company paid the same amount for Marvel back in 2009 — but Hasbro believes that the deal “enhances long-term profitability through in-sourcing and cost synergies as well as future revenue growth opportunities.” The deal provides “a pipeline of new brand creation driven by family-oriented storytelling, which will now include Hasbro’s IP.” Also, it’s worth noting that EOne is a diversified media producer with businesses in film, television, and music production, family programming, merchandising and licensing, and digital content.

Adds Brian Goldner, Hasbro chairman and chief executive officer, “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.”

Here’s more from Hasbro about EOne’s value on the film and tv side:

• By developing, owning and strategically distributing content, the acquisition positions Hasbro to capture more franchise economics created and perpetuated by differentiated platforms
• EOne brings profitable, growing capabilities in scripted and unscripted TV development and production for global audiences
• Live action and animation present multiple avenues to bring Hasbro’s franchises to life as OTT platforms and networks are increasingly interested in new, unexploited intellectual property while studios reclaim content for proprietary platforms
• In film, eOne has been transforming its business to focus on high-quality premium talent-driven content, including titles like Clifford the Big Red Dog and Monster Problems
• EOne’s Canadian TV and film operations will continue as a distinct Canadian-controlled business within the combined business

Hasbro points out that “top EOne executives have agreed to join the Hasbro team,” and that Hasbro will take advantage of EOne’s global reach, which includes a presence in London, Los Angeles, Toronto, New York, Hong Kong, Melbourne, and Shanghai.

Further, the deal will allow Hasbro to benefit from EOne’s strong roots in Canada: “EOne’s Canadian presence is an important base for creative talent and best-in-class studio capabilities, significantly expanding Hasbro’s Canadian presence and positioning EOne for ongoing success in Canada, including in relation to its robust pipeline of television and film projects.”