Adding a Little Character to Brand-Management Portfolios

Private equity-backed brand-management groups, such as Bluestar Alliance, Marquee Brands, Authentic Brands Group, WHP Global, and others, have been increasing their footprint in the licensing business for decades, acquiring intellectual properties and adding value through a 100% licensing model. They overwhelmingly focus on fashion brands, but over the years have diversified to include some retail chains, celebrities, and corporate trademarks outside of fashion (in home goods, sporting goods, and publishing, for example).

For the most part, entertainment/character properties have not been part of the mission to date. But there have been a few examples of acquisitions in this space over the years, including one announced just last week:

• On June 30, Authentic Brands Group announced it was purchasing the Care Bears IP for an undisclosed price. The property has generated U.S. $12 billion in lifetime retail sales and expects to reach U.S. $750 million in 2026, according to ABG. The sellers were the private equity firms Ivest Consumer Partners and Cloverlay, which in 2023 had acquired CloudCo Entertainment. The latter is the modern configuration of American Greetings’ Those Characters from Cleveland, which introduced Care Bears in 1982. The terms of the ABG deal were not made public.
• Futurity Brands acquired Paul Frank and its characters, including the flagship Julius the Monkey, in 2020. The Swiss brand-management firm also owns Australian surf brand Piping Hot, which it acquired in 2019. Investment firm Saban Capital was the previous owner of Paul Frank, for which Valero Enterprises manages global licensing.
• Iconix purchased 80% of the Peanuts brand in 2010, along with its then–licensing agency, United Media Licensing, for U.S. $175 million. The Charles Schulz family retained 20% ownership. Iconix’ reign lasted seven years, until, in 2017, the brand-management company sold its stake in the IP to DHX Media (owner of and later rebranded as Wildbrain) for U.S. $345 million. The next year, DHX sold 48% of its share (representing a 39% ownership stake in the IP) to Sony, which at the end of 2025 acquired the remaining 41% share from Wildbrain for U.S. $457 million. The family still retains 20% ownership. Peanuts Worldwide continues to manage the licensing, with its parent organization Peanuts Holdings becoming a subsidiary of Sony.

Marquee Brands also dipped its toes into the entertainment space with the acquisition of America’s Test Kitchen in 2023. But, while this brand is rooted in television, its strategy is pure brand extension, with its clear positioning of culinary expertise making it ripe for logical forays into food and home goods. This strategy is akin to the brand-management companies’ core business model. The traditional entertainment/character programs discussed above, on the other hand, are more of a departure.