HALIFAX – DHX Media said Monday that it has closed its sale of a minority stake in the Peanuts brand to Sony Music Entertainment Japan (SMEJ) for C$235.6 million in cash.
SMEJ has indirectly purchased 49% of DHX Media's 80% interest in Peanuts, subject to certain adjustments contemplated in the original agreement. DHX Media now owns 41% of Peanuts, SMEJ owns 39%, and the members of the family of Charles M. Schulz retain their 20% interest.
DHX Media and SMEJ also completed their agreement to extend the duration of the current Licensing and Syndication Agency agreement with SMEJ’s consumer products division, Sony Creative Products, in Japan. SCP has successfully grown the Peanuts business by over 200% as its agent since 2010.
As it pledged to do when the deal was first announced in May, DHX Media has used the net proceeds from the transaction to reduce indebtedness under its term credit facility.
"Through this transaction we have reduced our debt, while retaining control of Peanuts and strengthening our relationship with a world-leading entertainment and consumer products company”, said DHX Media executive chair and CEO Michael Donovan, in the news release. “Peanuts is enormously popular around the world, and we look forward to working with Sony to continue driving growth for Charlie Brown, Snoopy and the rest of the Peanuts gang."
