Team17, has entered into an agreement to acquire the business and assets of StoryToys, which has produced apps for Disney and Warner Bros.
In a statement, Team17 said: "The acquisition establishes a new highly complementary and fast growing edutainment vertical for Team17, strengthening the enlarged group’s position as a leading games entertainment business.
"The initial consideration for the acquisition is US$26.5 million, with a further maximum US$22.5 million payable in cash on delivery of certain targets by the vendors within three years following completion of the acquisition and will be funded from Team17’s existing cash reserves.
Founded in 2011 and based in Ireland, StoryToys is a multi-award-winning company specialising in edutainment apps for children under the age of eight and has produced apps with many leading children’s brands, including The LEGO Group, Disney, Pixar, Penguin, Sesame Workshop, Dick Bruna, Warner Bros, Hasbro, and Nickelodeon.
StoryToys apps have been downloaded more than 100 million times across 120 countries, and its educational entertainment apps are produced in 28 languages.
Debbie Bestwick MBE, CEO of Team17, commented: “I am thrilled to be welcoming StoryToys into the Team17 family and believe our shared culture and values perfectly align. In StoryToys, we are acquiring a highly creative and successful team whose ability to both entertain and educate children is truly best in class.
“Their track record is without question but the depth of talent that exists within the business gives us an unrivalled position within a hugely exciting and high growth edutainment area.
“We look forward to working closely with the whole StoryToys team and are delighted to be able to not only support their ambitious growth prospects but to provide a strong and stable platform to accelerate their development. Team17 prides itself on its culture and on embracing ambitious management teams – today’s announcement is an example of how we intend to make that a reality.”
Emmet O’Neill, CEO of StoryToys, commented: “Team17 is the perfect home for StoryToys as we enter into this incredible new chapter. Our goal is to be the number one provider of edutainment content for young children. Collaborating with Team17 will make that a faster and more exciting journey.
“We believe in creating the best possible digital learning experiences for children. We look forward to the possibilities that are opened up by collaborating with what we believe to be the best partner to deliver our ambitions.”