Spin Master Buys Two App Companies

Children’s entertainment company continues string of recent acquisitions.

Spin Master has acquired two kids' app brands–Toca Boca and Sago Mini–from the Bonnier Group of Sweden.

"The acquisition of Toca Boca and Sago Mini, with their strong brand presence, allows Spin Master to develop a leadership position in the mobile app space for kids and rounds out our ability to entertain kids in both the physical and digital world," says Ronnen Harary, co-chief executive officer, Spin Master. "Older kids' content consumption patterns have shifted to mobile devices, and we want to be where the kids are. The Toca Boca brand, which is trusted by parents together with its network of millions of users, gives us a strong platform to continue to build on. We look forward to linking these mobile apps, which emphasize fun and creativity, with Spin Master's global capabilities across our toy and TV show businesses."

Toca Boca is a play studio that makes digital toys for kids, ages 3 to 9. Since its first product launch in 2011, the company has released 32 apps that focus on stimulating kids’ imagination with no in-app purchases or external advertising. Additionally, Toca Boca is in the early stages of developing a subscription-based TV channel, Toca TV. The channel will aim to bring together exclusive Toca Boca content, safe video experiences and interactive features.

Sago Mini is a company that creates mobile, preschool-focused apps for kids ages 2 to 5. The company has released 16 apps, which have been downloaded more than 13 million times.

Spin Master also hinted at plans to create a toy line for both brands.

The transaction will close May 2.

“The acquisition of Toca Boca and Sago Mini brings together talented creative and development resources in Sweden, the U.S. and Canada together with Spin Master Studios’ existing digital team in Los Angeles,” says Ben Gadbois, president and chief operating officer, Spin Master. “These teams will drive further innovation and growth for Spin Master in line with our growth strategies.”

These new acquisitions follow Spin Master’s recent purchases of Etch A Sketch in February, Italian games company Editrice Giochi in January and Cardinal Games in 2015.