U.K.-based kids company CAKE Entertainment buys back the 51 percent stake previously owned by Spain’s Zinkia.
The MBO, which was privately-funded and closed yesterday, means CAKE and Zinkia have ended all legal and commercial ties, including CAKE’s representation of kids brand Pocoyo.
This comes three years after Zinkia acquired the majority stake in CAKE, and four months after the Spanish company went into administration after failing to renegotiate a $3.36 million loan.
Cake principals Tom van Waveren and Ed Galton led the MBO, financial terms of which were not disclosed.
Distributor CAKE sells series such as Total Drama, Angelo Rules, Space Racers, Dennis the Menace and new launch Ella Bella Bingo.
The company has insisted it was not affected by Zinkia’s failure, noting the two companies operated separately despite the shareholding ties and the fact it sold Pocoyo internationally.
The company is now back in the hands of Galton and van Waveren, who have jointly run the company since the exit of co-founder Genevieve Dexter in 2011.
Source: CAKE Entertainment
Jennifer Wolfe is Director of News & Content at Animation World Network.