Hasbro today announced that it is acquiring D&D Beyond, the licensed digital toolset and game companion for the company’s fantasy franchise Dungeons & Dragons, from Fandom, which has owned and operated D&D Beyond since 2019.
“This strategic acquisition, for $146.3 million in cash, will further strengthen Hasbro’s capabilities in the fast-growing digital tabletop category while also adding veteran talents to the Wizards of the Coast team and accelerating efforts to deliver exceptional experiences for fans across all platforms,” the game company said in an announcement.
Since 2017, D&D Beyond has helped to power D&D tabletop play and deliver the brand’s eighth consecutive year of growth in 2021. Over the last three years, the royalty paid to Hasbro by D&D Beyond has represented a significant contribution to the fastest growing source of revenue for D&D. The strategic acquisition of D&D Beyond will deliver a direct relationship with fans, providing valuable, data-driven insights to unlock opportunities for growth in new product development, live services and tools, and regional expansions. As part of Wizards, the brand’s leadership will soon be able to drive a unified, player-centric vision of the world’s greatest role-playing game on all platforms.
“The acquisition of D&D Beyond will accelerate our progress in both gaming and direct to consumer, two priority areas of growth for Hasbro, providing immediate access to a loyal, growing player base,” said Chris Cocks, Hasbro chief executive officer. “Hasbro’s gaming portfolio is among the largest and most profitable in the industry, and we continue to make strategic investments to grow our brands, including in digital.”
“This is the perfect next step for the talented D&D Beyond team, who built a transformative digital product that engaged and delighted millions of D&D fans around the world,” said Perkins Miller, CEO of Fandom. “We can’t wait to see what this team will do next as an integral part of the D&D franchise, and I look forward to investing in more brands and products to super serve Fandom’s 300 million+ global fans.”
“D&D Beyond has been one of our most valuable partners in the digital space for the past six years and we’re excited to bring their best-in-class talent onto our team,” said Cynthia Williams, president of Wizards of the Coast and digital gaming. “The team at D&D Beyond has built an incredible digital platform, and together we will deliver the best-possible Dungeons & Dragons experience for players around the world.”
The transaction is subject to customary closing conditions and the receipt of certain regulatory approvals, and is expected to close during the second or third quarter of 2022. The transaction will be funded out of cash on hand and is expected to be immaterial to revenue and earnings per share in 2022 and accretive to earnings per share in fiscal year 2023 and beyond. The transaction has been approved by both Hasbro’s and Fandom’s Boards of Directors.