Acquisition marks Spin Master’s entry into casual gaming with digital game for world-renowned Rubik’s Cube in development
TORONTO, Aug 10, 2022 /PRNewswire/ – Spin Master Corp. (“Spin Master” or the “Company”) (TSX: TOY) (www.spinmaster.com), a leading global children’s entertainment company, today announced the acquisition of Nørdlight, a digital game studio based in Stockholm, Sweden. The acquisition supports Spin Master’s plans to increase revenue and penetration within digital gaming and leverage its proprietary intellectual property across all three creative hubs: Toys, Entertainment and Digital Games.
Spin Master initially made a minority investment in Nørdlight in August 2021 through Spin Master Ventures, an initiative focused on investing in cutting-edge early-stage startups designed to accelerate growth in each of the company’s three creative centers. Twelve months later, this transaction marks the first minority investment that turns into an acquisition.
“The pace of innovation within the children’s entertainment space is changing rapidly, and this acquisition is strategically aligned with our long-term goal of growing our Digital Games creative center to 20% of Spin Master’s total revenue,” he said. Max Rangel, Spin Master’s global president and CEO. “By leveraging our growing capabilities and offerings of valuable intellectual property, we are well positioned to build compelling, evergreen digital gaming properties as gaming continues to permeate children’s entertainment time.”
The Nørdlight team has more than 50 years of combined experience in the mobile game industry, delivering some of the most profitable mobile digital games in history, including leading the prototype team at King.com and leading the technology and art for digital game titles, including Candy Crush Saga. For the past year, Nørdlight has worked to develop and develop the world-renowned Rubik’s brand in the digital space by introducing a casual mobile puzzle game, a project now entrusted to this renowned team of “puzzle kings”.
“We are committed to developing great games that captivate audiences around the world with playful, inclusive content,” said Fredrik Loving, Spin Master’s President, Digital Games. “Now that the Nørdlight team is part of our ecosystem, we can’t wait to show the world how we can develop one of the best-selling physical toys into the next mobile puzzle game phenomenon.”
“For us, the indie feel in studio building is crucial, that’s why we chose to do this with Spin Master, who share so many of our values and really see the opportunity to build a modern studio with the creativity of the employees in focus,” says Olle Bäck, CEO of Nördlight. “In addition, the access to IPs that we can now work with is incredible and to be able to create a digital version of one of the world’s best-selling puzzles together is, in short, a dream come true.”
Spin Master’s Digital Games creative hub operates a network of studios that deliver the award-winning Toca Boca and Noid, based in Stockholm, Sweden; Initiator located in San Francisco, California; and Sago Mini, based in Toronto Canada. Spin Master is focused on accelerating the growth of Digital Games’ creative hub by increasing engagement and reach within today’s games, creating new intellectual property, leveraging existing brands and franchises in the digital realm, and through acquisition.
Forward-Looking Statements
Certain statements, other than statements of historical fact, in this press release constitute “forward-looking information” within the meaning of certain securities laws, including the Securities Act (Ontario), and are based on expectations, estimates and projections as of the date on which statements in this press release are made. The words “plan”, “expect”, “estimated”, “estimated”, “forecast”, “anticipate”, “indicative”, “plan”, “guidance”, “prospect”, “potential”, “prospect “, “seek”, “strategy”, “goals” or “believes”, or variations of such words and expressions or statements that “will”, “will”, “may” certain future conditions, actions, events or results. “should”, “should”, “could” or “may”, or negative versions thereof, “be taken”, “avoid”, “continue” or “achieved”, and other similar expressions identify statements that contain forward-looking information. contain. Statements of forward-looking information in this press release include, without limitation, statements regarding: the company’s future growth expectations; drivers and trends for such growth and financial performance; and the successful execution of its growth strategies.
Forward-looking statements are necessarily based on management’s perception of historical trends, current conditions and expected future developments, as well as a number of specific factors and assumptions which, while believed by management to be reasonable as of the date on which the statements in this Press Release, are inherently subject to to significant business, economic and competitive uncertainties and contingencies that could cause forward-looking statements to be ultimately incorrect. In addition to all factors and assumptions set forth above in this press release, the material factors and assumptions used to develop the forward-looking information include, but are not limited to: the company will be able to expand its portfolio of intellectual property rights and own, use and monetize its intellectual property in its three creative centers and successfully license it to third parties; the Company will be able to successfully identify and integrate strategic acquisition and minority investment opportunities; seasonality; the ability of factories to manufacture products, including labor size and allocation, tooling, availability of raw materials and components, ability to switch between product mix and customer acceptance of delayed delivery dates; the extensive use of advanced technology, robotics and innovation that the company applies to its products will have a level of success consistent with its past experience; the company will continue to develop entertainment content and digital gaming content that will have a level of success consistent with its previous experience; the company will continue to successfully obtain broader third-party licenses for large entertainment properties in accordance with past practices; the expansion of sales and marketing offices in new markets will increase product sales in that area; the Company will be able to maintain its distribution capabilities; the company will be able to use its global platform to grow sales of acquired brands; the company will be able to identify and capitalize on opportunities earlier than its competitors; the company will be able to build and maintain strong cooperative relationships; the company retains its preferred employee status; the company’s culture and corporate structure will support its growth; the Company’s current business strategies remain desirable on an international platform; access to entertainment content and digital games on mobile platforms will increase; market fragmentation continues to create acquisition opportunities; the Company will be able to maintain its relationships with its employees, suppliers, retailers and license partners; the Company will continue to recruit qualified personnel to support its development needs; and the company’s key personnel will continue to be involved in the company’s products and entertainment properties will be launched as planned and that the risk factors identified in this press release will not collectively have a material impact on the company.
Forward-looking information is by nature subject to inherent risks and uncertainties that may be general or specific that give rise to the possibility that expectations, predictions, forecasts, projections or conclusions may prove incorrect, that assumptions are incorrect and that objectives, strategic goals and priorities will not be achieved. Known and unknown risk factors, many of which are beyond the Company’s control, could cause actual results to differ materially from the forward-looking information contained in this press release. Such risks and uncertainties include, without limitation, the factors discussed in the Company’s disclosure materials, including the Company’s annual or subsequent, most recent Interim MD&A and Company’s most recent Annual Information Form filed with securities regulatory authorities in Canada and available under the company profile on SEDAR (www.sedar.com). These risk factors are not intended to represent an exhaustive list of the factors that could affect the Company and investors are cautioned to carefully consider these and other factors, uncertainties and potential events and not to place undue reliance on forward-looking statements .
There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from the expectations contained in such statements. Forward-looking statements are intended to provide information about management’s expectations and plans for the future. The company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, or to explain any material difference between subsequent actual events and such forward-looking statements, except to the extent required by applicable law.
About Spin Master
Spin Master Corp. (TSX:TOY) is a leading global children’s entertainment company, creating exceptional play experiences through its three creative centers: toys, entertainment and digital games. With distribution in more than 100 countries, Spin Master is best known for the award-winning brands PAW Patrol®, Bakugan®, Kinetic Sand®, Air Hogs®, Hatchimals®, Rubik’s Cube® and GUND®, and is the global toy licensee for other popular properties. Spin Master Entertainment creates and produces compelling content for multiple platforms, through its own studio and partnerships with third-party creators, including the preschool franchise paw patrol and numerous other original shows, short series and feature films. The company has an established presence in digital games, anchored by the Toca Boca® and Sago Mini® brands, offering open and creative play and educational play in digital environments. Through Spin Master Ventures, the company makes minority investments in emerging companies and start-ups worldwide. With more than 30 offices in nearly 20 countries, Spin Master employs more than 2,000 team members worldwide. For more information, visit spinmaster.com or follow Instagram, Facebook and Twitter @spinmaster.
SOURCE Spin Master Corp.
.
0 Comments