Purchase of D&D Beyond to Add Nearly 10
Million Players to Digital Tabletop Ecosystem – The Fastest-Growing
DUNGEONS & DRAGONS Category
Hasbro, Inc. (NASDAQ: HAS) today announced that it is acquiring
D&D Beyond, the leading digital toolset and game companion for
the Company’s groundbreaking fantasy franchise, DUNGEONS &
DRAGONS, from Fandom. Fandom, the world’s largest fan platform, has
owned and operated D&D Beyond since 2019 and has grown the
direct-to-consumer business to be the leading role-playing game
(RPG) digital toolset on the market with close to 10 million
registered users. This strategic acquisition, for $146.3 million in
cash, will further strengthen Hasbro’s capabilities in the
fast-growing digital tabletop category while also adding veteran
talents to the Wizards of the Coast team and accelerating efforts
to deliver exceptional experiences for fans across all
platforms.
Since 2017, D&D Beyond has helped to power DUNGEONS &
DRAGONS tabletop play and deliver the brand's eighth consecutive
year of growth in 2021. Over the last three years, the royalty paid
to Hasbro by D&D Beyond has represented a significant
contribution to the fastest growing source of revenue for DUNGEONS
& DRAGONS. The strategic acquisition of D&D Beyond will
deliver a direct relationship with fans, providing valuable,
data-driven insights to unlock opportunities for growth in new
product development, live services and tools, and regional
expansions. As part of Wizards, the brand’s leadership will soon be
able to drive a unified, player-centric vision of the world’s
greatest role-playing game on all platforms.
“The acquisition of D&D Beyond will accelerate our progress
in both gaming and direct to consumer, two priority areas of growth
for Hasbro, providing immediate access to a loyal, growing player
base,” said Chris Cocks, Hasbro Chief Executive Officer. “Hasbro’s
gaming portfolio is among the largest and most profitable in the
industry, and we continue to make strategic investments to grow our
brands, including in digital.”
“This is the perfect next step for the talented D&D Beyond
team, who built a transformative digital product that engaged and
delighted millions of D&D fans around the world,” said Perkins
Miller, CEO of Fandom. “We can't wait to see what this team will do
next as an integral part of the D&D franchise, and I look
forward to investing in more brands and products to super serve
Fandom’s 300 million+ global fans.”
“D&D Beyond has been one of our most valuable partners in
the digital space for the past six years and we’re excited to bring
their best-in-class talent onto our team,” said Cynthia Williams,
President of Wizards of the Coast and Digital Gaming. “The team at
D&D Beyond has built an incredible digital platform, and
together we will deliver the best-possible DUNGEONS & DRAGONS
experience for players around the world.”
Hasbro’s continued investment in Wizards of the Coast’s digital
growth for its two iconic franchises, DUNGEONS & DRAGONS and
MAGIC: THE GATHERING, is representative of the significant
opportunity in PC and mobile gaming, an industry that represented
over 3 billion players globally and $129 billion in revenue in
20211. With the launch of Magic: The Gathering Arena on PC in 2019
and on mobile in 2021, Wizards has built a unique ecosystem of
best-in-class tabletop and digital play to create deeper player
engagement and satisfaction and grow revenue across all expressions
and regions. Similarly, with more than 80% of DUNGEONS &
DRAGONS fans having already played the game virtually in 2021,
aided by online digital platforms such as D&D Beyond, this
acquisition accelerates the game’s ability to penetrate new
markets, gather valuable consumer insights and provide players with
the best DUNGEONS & DRAGONS experience on all platforms.
The transaction is subject to customary closing conditions and
the receipt of certain regulatory approvals, and is expected to
close during the second or third quarter of 2022. The transaction
will be funded out of cash on hand and is expected to be immaterial
to revenue and earnings per share in 2022 and accretive to earnings
per share in fiscal year 2023 and beyond. The transaction has been
approved by both Hasbro’s and Fandom’s Boards of Directors.
About Hasbro
Hasbro (NASDAQ: HAS) is a global play and entertainment company
committed to making the world a better place for all children, fans
and families. Hasbro delivers immersive brand experiences for
global audiences through consumer products, including toys and
games; entertainment through eOne, its independent studio; and
gaming, led by the team at Wizards of the Coast, an award-winning
developer of tabletop and digital games best known for fantasy
franchises MAGIC: THE GATHERING and DUNGEONS & DRAGONS.
The company’s unparalleled portfolio of approximately 1,500
brands includes MAGIC: THE GATHERING, NERF, MY LITTLE PONY,
TRANSFORMERS, PLAY-DOH, MONOPOLY, BABY ALIVE, DUNGEONS &
DRAGONS, POWER RANGERS, PEPPA PIG and PJ MASKS, as well as premier
partner brands. For the past decade, Hasbro has been consistently
recognized for its corporate citizenship, including being named one
of the 100 Best Corporate Citizens by 3BL Media and one of the
World’s Most Ethical Companies by Ethisphere Institute. Important
business and brand updates are routinely shared on our Investor
Relations website, Newsroom and social channels (@Hasbro on
Twitter, Instagram, Facebook and LinkedIn.)
ABOUT FANDOM
Fandom is the world’s largest fan platform where fans immerse
themselves in imagined worlds across entertainment and gaming.
Reaching more than 300 million unique visitors per month and
hosting more than 250,000 wikis, Fandom.com is the #1 source for
in-depth information on pop culture, gaming, TV and film, where
fans learn about and celebrate their favorite fandoms. Fandom’s
Gaming division manages its direct-to-consumer subscription
businesses including the leading tabletop role-playing-game
platform Dungeons & Dragons Beyond, which has close to 10
million registered users, and the online video game retailer
Fanatical. Fandom Productions, the content arm of Fandom, enhances
the fan experience through curated editorial coverage and branded
content, its Emmy-nominated Honest Trailers and the weekly video
news program The Loop. For more information follow @getfandom or
visit: www.fandom.com.
Forward-Looking
Statements
This press release contains “forward-looking statements” within
the meaning of the Private Securities Litigation Reform Act of
1995. These forward-looking statements may be accompanied by such
words as “anticipate,” “believe,” “could,” “estimate,” “expect,”
“forecast,” “intend,” “may,” “plan,” “potential,” “project,”
“target,” “will” and other words and terms of similar meaning.
Among other things, these forward-looking statements may include
statements concerning: the proposed acquisition of D&D Beyond
by Wizards of the Coast; beliefs relating to value creation as a
result of the proposed acquisition; the expected timetable for
completing the acquisition; benefits of the transaction; expected
financial impact; and the ability to achieve our financial and
business goals and objectives. The Company’s actual actions or
results may differ materially from those expected or anticipated in
the forward-looking statements due to both known and unknown risks
and uncertainties. Specific factors that might cause such a
difference include, but are not limited to: uncertainty as to
whether the transaction will be completed in a timely manner or at
all; the conditions precedent to completion of the transaction,
including the ability to secure applicable regulatory approvals in
a timely manner or at all or on expected terms; uncertainty of
whether Hasbro could achieve the expected benefits from the
transaction; risks of unexpected costs, liabilities or delays;
integration difficulties, including the ability to retain key
personnel; and other factors that may impact or alter Hasbro’s
anticipated business plans, strategies and objectives; the effect
of the announcement, pendency or consummation of the transaction on
customers, employees, suppliers, partners and operating results;
and other risks detailed from time to time in Hasbro’s filings with
the U.S. Securities and Exchange Commission. The statements
contained herein are based on the Company’s current beliefs and
expectations and speak only as of the date of this press release.
Except as may be required by law, the Company does not undertake
any obligation to make any revisions to the forward-looking
statements contained in this press release or to update them to
reflect events or circumstances occurring after the date of this
press release. You should not place undue reliance on
forward-looking statements.
HAS-IR HAS-C HAS-WIZ HAS-ENT HAS-DG HAS-CP
__________________________ 1 Newzoo, Global Games Market Report
2021
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version on businesswire.com: https://www.businesswire.com/news/home/20220412006151/en/
Hasbro Investor Contact:
Debbie Hancock | (401) 727-5401 | debbie.hancock@hasbro.com Media
Contact: Carrie Ratner I (401) 556-2720 I carrie.ratner@hasbro.com
Fandom Rachelle Savoia | (470)
306-1609 | rsavoia@fandom.com
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