Moonbug Entertainment Ltd., the company behind the hit children’s show “CoColemon” is looking to either sell itself or go public.
Moonbug is seeking a $3 billion valuation, with rumored interest from the Blackstone-backed entertainment venture run by former Walt Disney Company executives, Kevin Mayer and Tom Staggs. An IPO would result in a significantly higher valuation.
Moonbug is on track to generate $100 million in profit this year through licensing, advertising and merchandise. Next year, they are expecting to double to $200 million.
With the rise of new streaming services, there is an increased appetite for children’s TV shows and movies, with demand up 58% since early 2020.
According to kids’ content veteran, Cyma Zarghami, “There weren’t any shows from traditional networks of the caliber of Nickelodeon’s “Paw Patrol” or “Dora the Explorer” to meet that demand.”
Founded in 2018, Moonbug seeks out popular children’s shows on platforms like YouTube – including “Blippi”, “Little Baby Bum” and “CoComelon” – and turns them into franchises. Now, more companies are following a similar playbook such as Pocketwatch, which manages the popular franchise “Ryan’s World.”
To date, Moonbug has raised $265 million from investors. A potential acquisition would be Mayer and Staggs’ second major deal in acquiring studios that own lucrative intellectual property.
Read the full story on Wall Street Journal: ‘CoComelon’ Owner Moonbug Weighs Sale, IPO
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