Blue Ant Media has agreed to acquire Thunderbird Entertainment in a transaction valued at approximately $89 million, marking a significant consolidation that will significantly expand Blue Ant’s production capacity, international content portfolio, and financial scale. The deal provides Thunderbird shareholders with cash and share consideration of $1.77 per share, representing a 28% premium to the 45-day VWAP and a 50% premium to the November 25 spot price. The acquisition follows Blue Ant’s recent reverse takeover of Boat Rocker Media and comes as the company accelerates its strategy to build a larger studio business with a global footprint.
Under the terms of the arrangement agreement, Thunderbird shareholders may elect to receive cash, Blue Ant subordinate voting shares, or a combination of both, subject to a maximum cash outlay of $40 million. At full cash proration, each Thunderbird share would convert into approximately $0.80 in cash and 0.1192 Blue Ant shares. Upon closing, Blue Ant shareholders are expected to hold about 79 percent of the combined entity, with Thunderbird shareholders holding roughly 21 percent, assuming cash elections are fully prorated. The deal is expected to close in the first quarter of 2026, pending approvals from shareholders, regulators, the court, and the Competition Bureau of Canada.
Blue Ant said the acquisition will immediately enhance earnings per share, increase cash flow, and deliver expected first-year cost savings of $7 million. The company also pointed to a significant expansion in public float following the transaction, which is anticipated to improve liquidity in Blue Ant’s TSX-listed shares. The company reported fiscal 2025 revenue of $204 million and Adjusted EBITDA of $37.1 million, and expects an additional $48.3 million in cash by March 2026 tied to its earlier reverse takeover.
Thunderbird Entertainment, which generates revenue from animation, scripted, and unscripted production through divisions including Atomic Cartoons and Great Pacific Media, brings a portfolio that includes global brands such as Spiderman, Star Wars, Highway Thru Hell, My Little Pony and Cocomelon. For fiscal year 2025, Thunderbird reported revenue of $185.7 million, net income of $6.3 million and Adjusted EBITDA of $18.3 million, alongside 26 active programs in production. Thunderbird has no corporate debt apart from standard interim production financing.
The transaction positions Blue Ant to significantly grow its studio and distribution business by adding a major animation and kids content engine, strengthening its unscripted slate, and expanding rights management capabilities. Both companies emphasized that the combined studio will benefit from enhanced IP development, stronger commissioning opportunities, expanded global distribution pipelines, and increased consumer products potential. Thunderbird is also advancing non-generative AI-driven production tools, technology that Blue Ant expects will strengthen its competitive edge in a fast-evolving media landscape.
The boards of both companies unanimously approved the transaction, with Thunderbird CEO Jennifer Twiner McCarron abstaining. Thunderbird’s board, following a recommendation from an independent strategic review committee and the receipt of a fairness opinion from Canaccord Genuity, recommended that shareholders vote in favor. Shareholders representing approximately 37 percent of Thunderbird shares have entered voting support agreements with Blue Ant. Blue Ant has already secured the required TSX approval for the share issuance through written consent from its controlling shareholder.
If completed, Thunderbird shares will be delisted from the TSX Venture Exchange and the OTC markets, and the company will cease to be a Canadian reporting issuer. Blue Ant said it intends to fund the cash portion of the deal with cash on hand and available credit.
KEY QUOTES:
“The acquisition of Thunderbird is anticipated to add scale and complementary capabilities that strengthen Blue Ant’s studio business and enhance our earnings and cash flow. Thunderbird’s world-class service work and proprietary content creation strengthens Blue Ant’s studio portfolio and fortifies our ability to develop, package, and monetize content across multiple platforms, while improving operating efficiency across our combined businesses. We are thrilled to carry on the momentum we started with the RTO this summer.”
Michael MacMillan, Chief Executive Officer, Blue Ant Media
“This Transaction brings Thunderbird into a larger, more diversified media group with stronger commissioning opportunities, global distribution, and greater emphasis on IP ownership and monetization. It creates a powerful platform for future growth, while also delivering compelling value for shareholders. We anticipate joining Blue Ant from a position of financial strength in fiscal 2026. As of today, productions representing approximately 76 percent of the revenue associated with Thunderbird’s current slate are approved and underway. Based on Thunderbird management’s current visibility, we expect full year revenue growth in the mid to high single digit range year over year. Thunderbird also anticipates a corresponding increase in Adjusted EBITDA, with margins in line with the prior year.”
“We are excited to further strengthen our trajectory within a larger organization, and look forward to uniting the talent and capabilities of both teams as we move confidently into this next chapter of growth.”
Jennifer Twiner McCarron, Chief Executive Officer and Chair, Thunderbird Entertainment
