by: Elizabeth Balboa, Benzinga Staff Writer
Building off an earlier deal to design and market “Power Rangers” toys, Hasbro, Inc. HAS 1.99% has agreed to purchase $522 million worth of children’s properties from Saban Brands Entertainment Group. The first set of products from Hasbro will be available in spring 2019.
Reuters first reported the news.
The deal will bring “Power Rangers,” “Luna Petunia” and “Popples,” among other classic Saban franchises, under the same portfolio as “My Little Pony,” “Monopoly” and “The Transformers.”
Why It’s Important
Brand ownership allows Hasbro to profit not just on retail merchandise but also on video production, a focus of Hasbro Studios. Saban’s “Power Rangers” film made $142 million at the global box office last year.
"25 years after launching Power Rangers, I believe the future for this brand has never been greater," Haim Saban, founder of Saban Brands and creator of Power Rangers. said in a press release.
The property expansion could help offset Hasbro’s pain from the Toys ‘R’ Us’ bankruptcy, which weighed on toy stocks last quarter. At the end of April, Hasbro reported significant top- and bottom-line earnings misses.
"Shortly after entering into our licensing arrangement, it became clear that now was the time to begin investing in unlocking Power Rangers' full potential," Hasbro CEO Brian Goldner said in the release. "We see significant opportunity for Power Rangers across our entire Brand Blueprint, including toys and games, consumer products, digital gaming and entertainment, as well as geographically throughout our global retail footprint."
Hasbro's stock was little changed Tuesday morning after closing at $88.09 per share.
Photo by David McBee from Pexels
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