Children’s toy manufacturer Spin Master Corp. recently announced the acquisition of Virginia Beach, Va.-based pool toy and backyard game manufacturer Swimways Corp.
Toronto-based Spin Master acquired Swimways as a means to becoming a key player in the outdoor and sports toys category, officials said. It will pay approximately $85 million, plus up to an additional $8.5 million over the next four years, based on Swimways’ sales growth.
The companies’ mutual experience with licensing partnerships makes them a good fit, said David Arias, president of Swimways Corp.
Swimways will operate as a stand-alone subsidiary. Its current leadership team will head Spin Master’s outdoor segment from the Virginia Beach location.
Swimways products are sold under the Swimways, Kelsyus, and Coop brands, and include a number of licensed products from entertainment franchises, including Disney, Marvel, and Star Wars. Spin Master offers brands such as Zoomer Dino, Air Hogs, Bunchems interlocking building balls and Meccanoid G15 build-your-own personal robots.
The acquisition gives Spin Master the opportunity to drive sales throughout the year, outside of the holiday season that’s traditionally associated with toys and games, said Anton Rabie, co-CEO/co-founder of Spin Master.
As for the Swimways brands, the companies expect the acquisition to help it grow domestically and internationally through Spin Master’s existing retail relationships and global sales network, said Ben Gadbois, president and COO of Spin Master Ltd.
The announcement marks Spin Master’s fifth acquisition since its initial public offering in July 2015.