Ben Gadbois, former global president and chief operating officer at Spin Master, discusses how the company plans to expand this year, including new licenses and potential mergers and acquisitions. Gadbois has left the company since this interview was conducted.
Do you anticipate the trend of mergers and acquisitions will continue this year? What are the benefits?
One of Spin Master’s key growth strategies is to leverage our global platform through strategic acquisitions. We have a strong track record of acquiring and integrating companies into our business, with more than 20 acquisitions to date, including Meccano, Cardinal, Swimways, GUND, and, most recently, Orbeez.
We continue to actively look for potential strategic acquisition targets while maintaining a measured and disciplined approach. Spin Master continues to have a strong balance sheet, providing our company with the financial flexibility and capacity to make strategic acquisitions both for the near and mid-term future. We’re always evaluating opportunities, and we love when companies and potential partners contact us to brainstorm about the possibilities of working together.
In Spin Master’s Q3 earnings report, action products rose 188%. How will this sales growth continue with the launch of new, DC-licensed products this year?
Action [toys] target [kids] of all ages, delivering high-quality products on the cutting edge of what’s new from entertainment franchises to innovative technology. We are focused on growing the business through our partnerships with world-class licenses, such as DC and Monster Jam; investing in our own entertainment content, as seen with Bakugan; and expanding our product offering.
Partnering with an iconic brand such as DC is a major milestone for Spin Master, and it aligns with our strategy to invest in successful licenses to further grow and diversify our business. Kids everywhere have been entertained and inspired by DC superheroes and supervillains for more than 80 years, and we’re honored to be a part of that storytelling and imagined play.
Through our licensing partnership with the Batman franchise and other DC superheroes, Spin Master is bringing its unique twist to innovative products, including action figures, R/C vehicles, water toys, games, and puzzles. Spin Master’s expertise across multiple categories allows us to leverage and merge our capabilities delivering new play experiences to fans.
This State of the Industry Q&A response originally appeared in the February 2020 issue of the Toy Book. Click here to read more!