WildBrain has announced it’s ending its broadcast channel business, including Family Channel, Family Jr., WildBrainTV and Télémagino.
The kids’ and family entertainment purveyor says following a recent CRTC decision finding WildBrain was not the subject of undue disadvantage from Rogers, the company has been unable to negotiate a new carriage agreement with Rogers for the aforementioned channels. WildBrain says Rogers has subsequently informed them it intends to remove the channels from its distribution service in the coming months. As a result, WildBrain’s previously-announced $40 million deal to sell a majority stake in the channels to Halifax-based IoM Media Ventures will no longer go ahead.
WildBrain says in combination with a decision by Bell to also remove the channels, it’s determined that side of its business is no longer commercially viable and plans to surrender its licenses to the CRTC.
The move means WildBrain will no longer be subject to Canadian control restrictions under the Broadcasting Act and will subsequently remove its variable voting structure applicable to non-Canadian shareholders. The company says simplifying its voting structure will provide greater strategic flexibility and opportunities.
“For nearly four decades, Family Channel has been a trusted destination for Canadian kids and families,” said WildBrain President & CEO Josh Scherba, in a company announcement. “We’re incredibly proud of the legacy we’ve built—thanks to our loyal viewers, dedicated television employees and the many talented Canadian producers we’ve partnered with.”
“While it is unfortunate that the channels will be discontinued, the impact on our broader business is minimal and does not affect our go-forward strategy. WildBrain remains a global leader in kids’ and family entertainment, with unique strengths in monetizing entertainment IP across content creation, audience engagement and global licensing. We have deliberately positioned our business to align with changing consumer habits, including a strategic exit from the declining broadcast space in Canada,” he continued.
Scherba noted that the company experienced 17% growth year-to-date through its third fiscal quarter, underscoring the strength of its diversified platforms beyond its TV business, despite “ongoing industry headwinds.”
“We remain focused on sustaining that momentum by leveraging our iconic IP—such as Peanuts, Strawberry Shortcake and Teletubbies—across streaming, YouTube, consumer products and immersive fan experiences,” he said. “As the entertainment landscape evolves, so do we—with a clear vision and an unwavering commitment to delivering quality content and beloved brands to kids and families around the world.”
