Possible merger between Hasbro and Dreamworks?

[griffin]

Rumours are circulating that Dreamworks and Hasbro Studios might be in talks to do a merger, to create a decent animation entity for Hasbro to then sell toys from (without having to secure rights or pay royalties).

If this ends up being true, and the deal is signed, it could well mean a new focus or direction for Hasbro... away from traditional toys that may or may not have a cartoon to plug it, towards "merchandise" toylines that only exist to cash in on a movie or TV show.
Such merchandise lines are therefore short-lived, and can leave a massive glut on the shelves of a small range of toys... which we've already been seeing from Hasbro with the last few years of Transformers (Movies and Prime) being more focussed on the first-wave flood, than a long-term sustainability of a Brand through turnover of new product restocking.

The plus side of all this could see more Animated Movies for Brands like Transformers... like maybe some one-off Gen1 or even Beast Wars movies that are DVD and TV only releases.
It could also see a return to Dreamworks for future Transformers Movies as well.

[kaiden]

thats interesting. they'd be suited for Transformers Animated/Prime/Beast Wars.

[Firestorm]

hmm, although that doesn't sound good from a toyline perspective, it does improve the chances of things like more Animated, More Beast Wars or even some Direct to DVD movies based on MTMTE

[UltraMarginal]

It's not so much a merger as Hasbro are in talks to purchase DreamWorks.

there seems to be a big stepping stone though. Because Hasbro is already so cosy with Disney, they will need Disneys approval to purchase one of their biggest rivals.

Hasbro seems to be fairly proactive in becoming another industry powerhouse. not just a toy company any more.

[MayzaPrime]

It's not so much a merger as Hasbro are in talks to purchase DreamWorks.

there seems to be a big stepping stone though. Because Hasbro is already so cosy with Disney, they will need Disneys approval to purchase one of their biggest rivals.

Hasbro seems to be fairly proactive in becoming another industry powerhouse. not just a toy company any more.

Watch for Disney to buy Hasbro after Hasbro buys Dreamworks...

Good way to beat your competitor

[griffin]

That's what Hasbro did in the 90s - they bought up a lot of competitor toy companies, including ones they tried and failed to compete with (Galoob's Micro Machines was one example, after Hasbro tried to copy the tiny-size gimmick with Micromasters).

Disney seem to have been doing that a bit lately as well, with their recent big purchases, but it is worth noting that Hasbro have been buying back a huge amount of their shares in the last 5-6 years (100s of Millions of dollars), which would make it harder for another company to buy them out on the share-market or be able to afford the cost of all that equity Hasbro now currently holds.

[Bidoofdude]

If Hasbro ends up buying Dreamworks, they'd be going nearly neck and neck against Disney.

[G1Optimal]

Just been reading on ign that the merger fell though
Hasbro-DreamWorks Animation Merger Falls Through
source: au.ign