eOne, the entertainment company, is experiencing personnel changes following its acquisition by Lionsgate for $500 million. Two top executives, Steve Bertram and Michael Lombardo, are set to depart, while Olivier Dumont, president of family brands, will assume a new role within Hasbro. Bertram, who serves as eOne’s president of film and television, announced his departure in an internal memo, stating that it is the right time for him to move on. He will remain with the company temporarily to assist with the transition process.
Lombardo, eOne’s president of global television, is also expected to leave the company. The deal between eOne and Lionsgate, which is subject to customary closing conditions, is anticipated to be completed by the end of the year. It involves a cash payment of $375 million and the assumption of production financing loans. The acquisition includes eOne’s team of employees, its content library of 6,500 titles, and its non-Hasbro-branded film and scripted TV business. It also encompasses Hasbro’s interest in eOne’s Canadian film and TV business, as well as eOne’s unscripted division.
However, the deal does not include some of eOne’s significant preschool brands like Peppa Pig and PJ Masks. After the transaction’s closure, Hasbro plans to establish a new division called Hasbro Entertainment. This division will be responsible for developing, financing, and producing entertainment based on Hasbro-owned brands. Olivier Dumont, a long-time eOne veteran, will head up this new division. Hasbro intends to transition to an asset-lite model for live-action entertainment, relying more on licensing and partnerships.
Hasbro’s chief financial officer, Gina Goetter, stated during an investor call that the sale of eOne will lead to an approximately 85% reduction in revenue for Hasbro’s entertainment segment. Lionsgate CEO Jon Feltheimer believes that the acquisition will bolster the company’s scripted and unscripted TV business, as well as expand its presence in Canada and the UK.
In conclusion, the sale of eOne to Lionsgate has prompted changes in the company’s leadership, with executives Steve Bertram and Michael Lombardo set to depart. The acquisition is expected to be finalized by the end of the year and includes eOne’s employees, content library, and various business divisions. Hasbro plans to establish a new division to develop entertainment based on its brands, with Olivier Dumont leading the effort. The acquisition marks a strategic move for Lionsgate as it seeks to strengthen its TV business and expand its global presence.
