The children’s book distributor and publisher will acquire 100 per cent “of the economic interest” and minority voting rights in 9 Story, which creates, produces and distributes television content for kids. Both companies’ boards have approved the sale, but it still needs sign-off from Canada’s Heritage Minister. The deal is expected to close in Scholastic’s first fiscal quarter of 2025, which begins June 1 of this year. (The Logic)

Talking point: Scholastic said it will initially fund the deal with cash and its revolving credit facility. Under the agreement, the companies will share intellectual property, allowing Scholastic to turn 9 Story’s video content into books and Scholastic’s books into video. 9 Story’s production company, Brown Bag Films, which has won 21 Emmy Awards and been nominated for two Oscars, is behind well-known children’s programming including Doc McStuffins and Daniel Tiger’s Neighbourhood. Scholastic and 9 Story have collaborated in the past, including rebooting Clifford the Big Red Dog as an animated series.