Hasbro is buying the Power Rangers in $520 million deal

Toy maker Hasbro has agreed to acquire children’s entertainment and merchandising franchises, including the characters of the superhero TV show “Power Rangers,” from Saban Entertainment for around $520 million in cash and stock, people familiar with the matter said Tuesday.

The deal comes as Hasbro, the world’s largest toy maker, whose stable of franchises includes My Little Pony, Monopoly and The Transformers, seeks to reverse its losses following the bankruptcy last year of US toy retailer Toys ‘R’ Us.

In addition to making toys and action figures, Hasbro profits from s꧒uch franchises through the production of movies and TV series, allowing it to diversify its revenue beyond retail sales.

A deal between Hasbro and Saban Entertainment, owner of🎃 the Power Rangers fran✱chise, could be announced as early as Tuesday, the sources said. The agreement also includes franchises such as Luna Petunia and Popples, the sources added.

The sources asked not to be identified ahead of an official 🤡announcement. Hasbro and Saban Entertainment 🌟did not immediately respond to requests for comment.

Launched as the “Mighty Morphin Power Rangers” live-acti🦄on 💫TV show in 1993, the franchise was created by Haim Saban, owner of Saban Entertainment.

The TV series gave rise to a line of action figures and other merchandise, plus three movies, including “Saban’s Power Rangers” last year. The 2017 film, distributed by Lions Gate Entertainment, sold $142 million worth of tickets worldwide.

Earlier this year, Hasbro and Saban signed a deal for the toy maker to design, produce and bring to market a wi🔥de variety of toys and role-play items inspired by Power♛ Rangers.

Pawtucket, Rhode Island-based Hasbro has taken several steps to boost its presence in the entertainment business as a way to fuel toyꦕ sales.

The company operates Hasbro Studios🔴, which produces TV shows ꧋such as the upcoming Netflix Inc. series “Stretch Armstrong and the Flex Fighters.”

The toy industry’s traditional players have been undone in recent years by a shift toward thousands of rival, smaller producers 💝selling on Amazon and other e-commerce sites, as well as kids’ preference for electronic games over physical toys.

Last week, Hasbro reported a net loss attributable to the company of $112.5 million, or 90 cents per🌠 share, in the first quarter ended April 1, compared with a profit of $68.6 million, or 54 cents per share, a year earlier.

In 2014, Hasbro held merger discussions with DreamWorks Animation SKG, the studio behind “Shrek,” but DreamWorks was subsequently bought by Comcas💮t.

Last year, the toy mꦿaker also held talks to acquire US movie studio and entertainment company Lions Gate, but those negotiations broke down over price, sources said at the time.

Hasbro has been ♏seeking scale, and has attempted unsuccessfully to merge with peer Mattel over the years, most recently in 2017. Mattel added to a sense of crisis in the toy sector by appointing its fourth chief executive in three years last week.