Scholastic has strengthened its ties with longtime media partner 9 Story Media Group, acquiring a 100% economic interest in the Toronto-based company for $186 million. The deal also gives Scholastic a minority share of 9 Story’s voting rights while leaving the majority under the control of 9 Story management thereby keeping the company Canadian controlled. 9 Story is a creator, producer, and distributor of children’s content and has production studios in Toronto, Dublin, and Bali. Its revenue totaled $104 million in the fiscal year ended August 31, 2023.
Scholastic and 9 Story have worked together for more than 20 years, with 9 Story working on the animated series reboot of Scholastic's Clifford the Big Red Dog, which is on PBS Kids and Amazon Prime Video, as well as the production of Eva the Owlet, carried by Apple TV+. Scholastic executives said they see the investment in 9 Story as a way to expand the company’s opportunities to leverage its brand and various children’s franchises across print, screens and merchandising.
“Today’s announcement presents a huge opportunity to expand the footprint of Scholastic’s authors and illustrators and to build global franchises on every platform, creating more value for the creators and for our shareholders,” said Iole Lucchese, Scholastic chair and president of Scholastic Entertainment.
9 Story’s business divisions include Brown Bag Films, an animation studio, which has won 21 Emmy Awards; 9 Story Distribution International, a global distribution division, which distributes more than 5,000 half-hour episodes of animated and live action programming for kids around the world; and 9 Story Brands, the consumer products division, which builds global kids’ brands both on- and off-screen.
The company is headed by Vince Commisso, who remains president and CEO. “We’ve been fortunate to work with Scholastic for decades,” Commissio said in a statement. “The combination of our global studios, sales and distribution capabilities with Scholastic’s existing media business, iconic name and unique capabilities opens even more opportunities to deliver compelling stories and build impactful brands for audiences worldwide”
The deal, which must be approved by the Minister of Canadian Heritage, is expected to be completed this spring.
This story has been updated to explain the structure of the acquisition.
