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WildBrain (WILD) investor relations material

WildBrain M&A Announcement summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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M&A Announcement summary19 Dec, 2025

Deal rationale and strategic fit

  • Monetizing a 41% minority stake in a major franchise for $630 million to reset the balance sheet and focus on wholly-owned, higher-margin brands and premium digital content.

  • Enables reinvestment in fast-scaling, high-margin franchises and digital content, leveraging proven brand-building strategies.

  • Retains exclusive multi-year service agreements for content production and licensing, ensuring ongoing revenue streams from the divested asset.

  • Strategic simplification and shift toward a streamlined, synergistic entertainment platform focused on digital-first engagement and global licensing.

  • Aligns with long-term value creation and platform scaling.

Financial terms and conditions

  • Sale of a 41% interest in a key franchise for $630 million cash, subject to customary closing adjustments, representing a 23x fiscal 2025 attributable EBITDA multiple.

  • Proceeds will fully pay down debt, saving $50 million annually in interest and leaving over $40 million in cash surplus.

  • Aggregate return from the franchise stake exceeds $1 billion since 2017, with continued ownership of other high-return assets.

Synergies and expected cost savings

  • Debt elimination results in significant interest savings and capital flexibility for reinvestment, with annual interest savings more than doubling previous free cash flow from the stake.

  • Focus on wholly-owned IP increases contribution margins and cash flow, with no leakage to co-owners.

  • Clean balance sheet enables $50–$100 million investment in growth opportunities.

  • Enhanced ability to scale brands globally using a proven playbook for digital engagement and licensing.

How will WildBrain replace Peanuts' EBITDA?
Peanuts content strategy post-sale?
Explain rationale for pausing FY26 guidance
Outline path to $1B Teletubbies retail sales
How will new reporting structure enhance transparency
Expected margin impact from AI tools
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Frequently asked questions

WildBrain Ltd. develops, produces, and distributes films and television programs worldwide. The company operates through two segments, Content Business and Canadian Television Broadcasting. The Content Business segment produces popular kids' entertainment brands, including Thomas & Friends™ and Mike the Knight™, which are distributed directly to consumers on DVD and digital platforms, TV broadcast stations, and mass market retailers. As of March 31, 2015, the company operated 20 production companies in 5 territories; owned a library consisting of over 2200 episodes of original animation; owned a significant interest in a separate entity that produced live action children's programming; owned rights to well-known brands such as Thomas & Friends™, Bob the Builder™ and Pingu™; marshaled a global sales force with established relationships with the world's leading retailers; and operated its website under the new Thomas & Friends™: Official Website banner. The Canadian Television Broadcasting segment operates conventional television stations in Ontario (including its capital city Toronto), British Columbia (including its capital city Vancouver), and Alberta (including its capital city Edmonton). This segment broadcasts approximately 50 hours per week of programming throughout Canada, including news and local community events airing mainly between 4 pm to 6 am each day; sports programming during season play for professional teams including NHL.

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