CINAR is Acquiring Educational Record Label and Publisher Twin Sisters Productions, Inc. for US$9 Million.
MONTREAL--(BUSINESS WIRE)--Feb. 22, 2000
CINAR Corporation (NASDAQ:CINR) (TSE:CIF.A.) (TSE:CIF.B.) announced today that it is acquiring Twin Sisters Productions, Inc., a U.S. children's educational record label and publisher, for US$9 million in cash, plus additional potential sums based on performance objectives over the next four years. Twin Sisters Productions, Inc. now joins the growing CINAR Education division. This transaction was approved, in principle, at the last Board meeting.
"This acquisition increases the scope of our operations in the growing Education Industry and reaffirms the fact that CINAR's management, supported by its Board of Directors, remains positive about the Company's ongoing business activities. Our solid balance sheet enables us to pursue opportunities as they arise and we stay committed to the development of our business," said Ronald A. Weinberg, President and co-CEO of CINAR Corporation, CINAR Education's parent company.
Founded in 1987 by twin sisters Kim Mitzo Thompson and Karen Mitzo Hilderbrand, Twin Sisters Productions, Inc. is a privately-held Akron, Ohio-based company that develops, produces, distributes and markets high-quality audio products that use music and rhythm to provide children with an alternative way to learn basic skills and build self-esteem. The company's product line includes over 200 cassettes, CDs, CD-ROMs and interactive learning kits on subjects such as the following: Infant Lullabies, Reading Readiness, Early Childhood, Math, Foreign Language Instruction, Social Studies, Science and Safety Education. Twin Sisters Productions has won over 80 national product awards for quality, age appropriateness, educational excellence and entertainment value, including many Dr. Toy and Parent's Choice awards, as well as the National Parenting Center Seal of Approval.
The titles published by Twin Sister Productions are marketed to teachers and parents, and aimed at children from pre-kindergarten to grade 6. The products are sold by both the company's in-house sales team and by independent representatives, primarily to school supply stores, selected specialty toy venues, music and book distributors/stores, as well as gift and infant/juvenile markets. It has also initiated e-commerce efforts, selling its product on-line at www.twinsisters.com
"Twin Sisters Productions is a welcome addition to the CINAR Education division," declared Stephen T. Carson, President of CINAR Education and of Carson-Dellosa Publishing. "Like CINAR, HighReach Learning and Carson-Dellosa, the company shares a commitment to high-quality, educationally sound learning products that are fun and instill a love of learning. Among several planned initiatives, Twin Sisters Productions will start distributing selected Carson-Dellosa products within specific segments of the specialty retail market, such as gift and stationery stores. As well, HighReach Learning will be including several Twin Sisters Productions products in its next catalogue mailing to teachers across the US, and could enrich its educational preschool curriculum programs with some of the company's musical learning tools."
"We are very excited about the possibilities provided by the synergies between Twin Sisters Productions and CINAR Education's subsidiaries. Music can have such a positive effects on learning. Studies have shown that it enhances spatial reasoning which helps children develop skills in abstract thinking and visualization. Our partnership with CINAR will promote further brand recognition of Twin Sisters Productions products, allow for further market penetration and growth, especially within the school market, and encourage partnerships with other CINAR Education companies," said Karen Mitzo Hilderbrand, CEO of Twin Sisters Productions.
Twin Sisters Productions founders Kim Mitzo Thompson, President, and Karen Mitzo Hilderbrand, Chief Executive Officer, will continue in their current positions for a minimum 5-year term.
CINAR Corporation (Nasdaq: CINR; and Toronto Exchange; CIF.A, CIF.B) is an integrated entertainment and education company involved in the development, production, post-production and worldwide distribution of non-violent, quality programming and educational products for children and families. CINAR Entertainment's original productions, distributed in over 150 countries, include two-time Emmy award-winner ARTHUR(TM) (with WGBH Boston), The Busy World of Richard Scarry(TM), Wimzie's House(TM), Caillou(TM) and Lassie(TM), as well as mini-series and family films. CINAR Education Inc., CINAR's educational division, promotes children's learning by developing, producing, distributing, and marketing high-quality supplemental educational products worldwide. Through CINAR's diverse programming, its licensing and merchandising of entertainment-related products, and its array of supplemental education products, the Company reaches children worldwide. CINAR's web site www.cinar.com.
Some of the statements in this release concerning the Company's future prospects are forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such risks and uncertainties include the continued acceptance of the Company's distribution channel by key vendors and customers, the timely availability and acceptance of new products, and the contribution of key vendor relationships and support programs.