WildBrain sells stake to IoM Media
By Derek Winkler
Toronto-based children’s entertainment company WildBrain has signed an agreement to sell two thirds of its broadcast television operations to production and animation company IoM Media Ventures of Halifax. WildBrain will retain the remaining third of the ownership. These operations include Family Channel, Family Jr., WildBrainTV and Télémagino. According to the company, the sale is valued at $40 million over four years, which will be used for debt repayment. In addition, WildBrain states that the sale will free the company from certain restrictions under the Broadcasting Act relating to non-Canadian ownership.
“As we continue to strategically focus on driving high-growth areas for key global franchises and partnerships, this transaction is a critical step forward in simplifying our business,” said Josh Scherba, president and CEO of WildBrain. “Financially, we believe it strikes a balance between economic participation for WildBrain while benefiting our leverage profile over the long term. We're confident that, with IoM, the channels will pass to a strong independent Canadian studio. As a partner with IoM, we look forward to working with them to uphold the prominent legacy of these channels with a dedication to delivering best-in-class content for Canadian families.”