Hasbro, Cartamundi Sign Letter of Intent for Manufacturing Facilities
Hasbro, Inc., and Cartamundi Group announced the signing of a letter of intent to sell Hasbro’s manufacturing locations in East Longmeadow, Mass., and Waterford, Ireland to the Cartamundi Group. Cartamundi is a leader in the production and sales of playing cards and cards for games. Under the terms of the agreement, Cartamundi will continue to employ all regular manufacturing and distribution employees located in East Longmeadow and Waterford on comparable terms. It is anticipated that the transaction, which is subject to the signing of definitive agreements and the satisfaction of specified closing conditions, will close in the third quarter of 2015. The specific terms of the transaction were not disclosed.
Hasbro says that the divestiture is in line with its mission of Creating the World’s Best Play Experiences and building larger more global brands. Hasbro will continue to invest resources in areas that will maximize the value of the company’s brands globally, including in design, development, storytelling, sales, and marketing. Hasbro says that the sale of these facilities will have no impact to Hasbro’s commitment to the Games category and the company will continue to invest in gaming.
“We will continue to focus on global brand building, driven by great storytelling and innovation,” said Duncan Billing, executive vice-president, chief global operations and business development officer, in a statement. “Cartamundi not only has a deep legacy in manufacturing but shares similar values with Hasbro. They have a strong commitment to the community and its people and it was imperative for us to find the right owners for these sites. In addition to continuing to manufacture Hasbro board games, the factories will now be available to Cartamundi’s other customers, thus driving additional volume and supporting future growth. We want to recognize the employees in East Longmeadow and Waterford for their incredible contributions in building these world-class facilities, which should continue to be competitive well into the future.”
The proposed transaction includes all buildings, land, and equipment located at both sites. The East Longmeadow plant consists of approximately 1,150,000 square feet and supported by more than 350 full-time employees. The Waterford plant consists of approximately 244,000 square feet and is supported by more than 160 full-time employees.
The acquisition is in line with Cartamundi’s mission to become the preeminent manufacturer of playing cards, game cards, and board games globally.
“We are very pleased to have signed a letter of intent with Hasbro for the acquisition of these state-of-the-art facilities. We consider this to be a milestone in the history of our company,” said Chris Van Doorslaer, CEO, Cartamundi, in a statement. “Through this acquisition we will become the world market leader in the manufacturing of board games. Our expanded capabilities in board game manufacturing further our mission to create game products and experiences that connect families and friends of every generation. We welcome Hasbro’s highly dedicated and experienced work force to our team and we look forward to continuing to manufacture Hasbro games at East Longmeadow and Waterford while also adding volume from both our current and new global customers.”
Bratz Relaunches at TRU
MGA Entertainment (MGAE) announced that its fashion doll franchise, Bratz, is returning to store shelves this summer through a partnership with Toys “R” Us. MGAE has partnered with TRU to offer an exclusive online pre-sell of the new core collection. Consumers will be able to purchase Bratz dolls from July 13–25 on the TRU website and receive an exclusive and limited-time gift with purchase (while supplies last).
To complement the core Bratz doll line, which includes the characters Cloe, Yasmin, Sasha, and Jade, there will be new additions to the collection throughout the fall season, such as an offering available only at TRU that focuses on the Best Friends For Life theme and a reintroduction of a fan-favorite character, Raya, as part of the core five friends. To view the exclusive online pre-sell, visit www.Toysrus.com/Bratz.
The Passing of Nintendo’s Satoru Iwata
Nintendo announced earlier this week that chief executive Satoru Iwata died. He was 55. Nintendo said he underwent surgery in June 2014 for a bile duct tumor. Iwata was named president in 2002. He led the introduction of the Wii console. He announced in March 2015 that Nintendo would develop video games for smartphones featuring the company’s classic characters.
According to The Wall Street Journal, “The company didn’t immediately name a successor or temporary occupant of the president’s post. It said two executives at the company, Genyo Takedaand Shigeru Miyamoto, will continue to hold the post of representative director, a position that under Japanese law gives them the right to make certain decisions on the company’s behalf.”