Spin Master has purchased plush toy manufacturer Gund from Enesco LLC, a portfolio company of Balmoral Funds, a private equity firm.
Established in 1898, Gund is one of the leading plush toy manufacturers in the world, recognized by the American Brand Council as one of the most trusted toy brands in the US, and known for its iconic "Gotta Getta Gund" campaign, as well as producing products for viral sensation Pusheen.
According to a recent NPD report, the plush toy category grew 6 per cent worldwide in 2017. Spin Master plans to expand into the infant toy and specialty gift categories with the acquisition.
"GUND further diversifies our product line and opens up significant opportunities for broader distribution. We will also be able to drive international growth leveraging our well-established global infrastructure. GUND introduces Spin Master into the gift business as plush offers a tried-and-true play value for kids to enjoy with their parents during everyday moments," said Ben Gadbois, Spin Master president and COO.
The acquisition of Gund marks Spin Master's 20th acquisition since the company was founded, and the ninth since its initial public offering in 2015. The purchase consideration is $79.1 million, which will be settled utilising Spin Master's internally generated cash resources and its credit facility. The acquisition is expected to close on April 1st.