RC2 : Publishing division to be acquired

Purchase of Publications International's CPD to boost Learning Curve brand.
Publish date:

RC2 has signed definitve purchase agreements to acquire the Children's Publishing Division of Publications International.

The deal will cost $163 million plus transaction fees and expenses and is expected to close in July this year.

Curt Stoelting, CEO of RC2, said the acquisition fits with the firm's plan to strengthen and diversify its business.

"The children's publishing business is a strong strategic fit with our Learning Curve brand and creates an early learning platform which complements both our Mum, Infant and Toddler and Preschool product segments. CPD's children's book portfolio and its licensing relationships will leverage RC2's operating infrastructure and enhance the growth opportunities for our Learning Curve brand," Stoelting said.

"CPD's products and the team members joining RC2 wil enhance our strategy of building consumer loyalty with branded products that encourage repeat purchases because they are fun to own and use. The addition of CPD will allow RC2 to provide additional learning solutions to children and their parents.

"As we look forward, we expect CPD to be accretive to earning in 2008 and in the future. CPD will further improve RC2's competitive postion in the early learning market, create a platform for new lines of early learning products and create additional opportunities for international expansion," he concluded.


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