Kartoon Studios Partners With LiveOne, Inc. to Produce, Publish, and Distribute Original Music for Winnie-The-Pooh Megabrand, Set to Premiere on Kartoon Channel on Amazon Prime Video in 2025

Rhea-AI Summary

Kartoon Studios (NYSE American:TOON) has partnered with LiveOne, Inc. (NASDAQ: LVO) to produce, publish, and distribute original music for the upcoming Winnie-The-Pooh megabrand. This collaboration is expected to drive significant revenue, building on the franchise's $80 billion retail sales history. The partnership includes:

1. Production of music for Kartoon Studios' Winnie-the-Pooh films and series
2. A feature film, 'A Hundred Acre Christmas,' premiering on December 24, 2025, via Amazon Prime Video
3. Five holiday specials and a 104-episode animated series
4. A global retail program launch concurrent with the holiday movie debut

The project is supported by a $30 million non-dilutive production financing led by Catalyst Venture Partners, aiming to capitalize on the franchise's enduring popularity and potential for music royalties.

Positive

• Partnership with LiveOne expected to drive significant revenue
• Winnie-the-Pooh franchise has historically generated $80 billion in retail sales
• $30 million non-dilutive production financing secured for project development
• Planned release of feature film, holiday specials, and 104-episode animated series
• Global retail program launch to coincide with holiday movie debut

Negative

• None.

Insights

Financial Analyst

The partnership between Kartoon Studios and LiveOne is likely to have a substantial financial impact. Firstly, leveraging a beloved franchise like Winnie-the-Pooh, which has generated $80 billion in revenue historically, could attract considerable attention and investment. The inclusion of original music, especially given the success of previous music releases, adds another revenue stream. LiveOne’s established platform for premium content and livestreams ensures a broad distribution network, which could enhance revenue potentials through subscriptions and sales.

Kartoon Studios' ability to secure $30 million in non-dilutive financing for this project is also noteworthy. This approach avoids diluting existing shareholders' equity, which is generally favorable to investors. Overall, the collaboration is promising from a financial standpoint, expanding Kartoon Studios' revenue streams and enhancing its market position.

Market Research Analyst

From a market perspective, Kartoon Studios is strategically positioning itself by aligning with LiveOne, a recognized entity in digital entertainment. The timing of the animated feature release with the 100th anniversary of A.A. Milne's original publication is a shrewd move that can maximize media attention and consumer interest. The multi-faceted approach—including an animated feature, holiday specials and a series—ensures prolonged engagement with the franchise, which can translate into sustained consumer interest and recurring revenue.

The launch of a global retail program concurrent with the movie debut further reinforces this strategy. By offering physical entertainment and consumer products, Kartoon Studios is not only diversifying its revenue streams but also strengthening its brand presence. The strategy promises to drive significant revenue, making it a strong market play.

Tech Expert

On the technology front, LiveOne’s capabilities in producing, publishing and distributing music content add a significant layer of value to this partnership. Their technology enhances user engagement and interaction through premium content and livestreams, which are increasingly important in today’s digital-first entertainment landscape. This technological edge can help Kartoon Studios reach a wider audience and ensure the successful delivery of high-quality music content that complements the Winnie-the-Pooh franchise.

Moreover, the integration of LiveOne’s platform with Kartoon Channel's distribution on Amazon Prime Video ensures a seamless user experience and broad accessibility. This synergy between content creation and technological distribution is likely to enhance consumer satisfaction and foster loyalty, which is important for long-term success.

Partnership Anticipated to Drive Significant Revenue

A.A. Milne’s Classic Books Gave Rise To $80 Billion in Retail Sales with Millions in Music Royalties

BEVERLY HILLS, Calif., July 22, 2024 (GLOBE NEWSWIRE) -- Following Kartoon Studios’ (NYSE American:TOON) recent landmark announcement regarding the 2025 holiday premiere of “Kartoon Studio’s Winnie-The-Pooh” animated feature, followed by holiday specials and a series, the Company today announced a broad partnership with LiveOne, Inc. (NASDAQ: LVO), an award-winning, creator-first music, entertainment, and technology platform.

LiveOne will produce, publish, and distribute all music for Kartoon Studios “Winnie-the-Pooh” films and series, including original songs, albums and soundtracks. LiveOne’s subscription platform delivers premium content and livestreams from the world's top artists creating a valuable connection between brands and fans. 

Kartoon Studios “Winnie-the-Pooh” is currently in pre-production on the animated feature, A Hundred Acre Christmas. The movie is set to premiere December 24, 2025, on Amazon Prime Video, through Kartoon Channel’s $3.99/month subscription distribution arrangement, timed to celebrate the 100^th anniversary of A.A. Milne’s original publication in the London Evening Standard. The franchise will also include five holiday specials and a104-episode animated series. 

“LiveOne has revolutionized the digital entertainment and live-streaming space since its launch in 2015 by leveraging technology to enhance user engagement and interaction with content creators and media partners​, and they are the ideal partner to work with us to deliver a slate of original music, which is integral to the production of Kartoon Studios “Winnie-the-Pooh,” stated Kartoon Studios’ Chairman & CEO Andy Heyward. 

“The Winnie-the-Pooh franchise’s popularity has endured for generations and generated 80 billion dollars in revenue, including music royalties. The 1994 release of the Grammy Award-nominated Return to Pooh by Kenny Loggins alone sold over 2 million albums,” said LiveOne’s Chairman & CEO Robert Ellin, and Josh Hallbauer, Head of Music. “We are thrilled to partner with Kartoon Studios to translate the values, stories and characters from the original books into a dynamic soundtrack to appeal to a new generation with Kartoon Studios ‘Winnie-the-Pooh.”

In addition to the release of content, Kartoon Studios will launch a global retail program concurrent with the debut of the holiday movie with physical entertainment through Alliance Entertainment Corporation and a consumer productions program.

The development, production, and growth of Kartoon Studios “Winnie-The-Pooh” is funded by a non-dilutive production financing of $30 million, led by Catalyst Venture Partners. 

About Kartoon Studios’ Winnie-The-Pooh
Kartoon Studios’ “Winnie-the-Pooh” is based on the designs and stories of one of the most successful brands of all time, A.A. Milne’s Winnie-the-Pooh, a property that has generated over $80 billion dollars in sales over the last four decades and is estimated to currently generate $3-$6 billion dollars per year. The total lifetime revenues exceed those of “Barbie,” “Harry Potter,” “Star Wars,” “Mickey Mouse,” “Peanuts,” “Ninja Turtles,” “Power Rangers,” “Marvel,” and almost every major brand in the world.  

Kartoon Studios’ Winnie-the-Pooh animated content is being developed with a unique ‘yarn- based’ design and palette for the characters and backgrounds, along with original modern stories inspired by Milne’s beloved classic books. The beautifully imagined yarn gives the characters a depth and warmth. Additionally, the stories will be told in a ‘Seussian style’ rhyme to provide an enriched dimension to the stories.

About Kartoon Studios 
Kartoon Studios (NYSE AMERICAN: TOON) is a global end-to-end creator, producer, distributor, marketer, and licensor of entertainment brands. The Company’s IP portfolio includes original animated content, including the Stan Lee brand, “Stan Lee’s Superhero Kindergarten,” starring Arnold Schwarzenegger, on Kartoon Channel! and Ameba; “Shaq’s Garage,” starring Shaquille O’Neal, on Kartoon Channel!; “Rainbow Rangers” on Kartoon Channel! and Ameba; the Netflix Original, “Llama Llama,” starring Jennifer Garner, and more. 

In 2022, Kartoon Studios acquired Canada’s WOW! Unlimited Media, along with its subsidiary, Mainframe Studios, which is one of the most successful animation service houses in the world, producing top brands for 3^rdparties, including “Cocomelon,” “Barbie’s Playhouse,” Unicorn Academy,” and “SuperKitties.”  Additionally, the company made a strategic investment becoming the largest shareholder in Germany’s Your Family Entertainment AG (FRA:RTV), one of Europe’s leading distributors and broadcasters of high-quality programs for children and families.

Toon Media Networks, the Company’s wholly owned digital distribution network, consists of Kartoon Channel!, Frederator Network, and Ameba. Kartoon Channel! is a globally distributed entertainment platform with near full penetration of the U.S. market. Kartoon Channel! and Ameba are available across multiple platforms, including iOS, Android Mobile, Web, Amazon Prime Video, Apple TV, Amazon Fire, Roku, Pluto TV, Comcast, Cox, Dish, Sling TV, Android TV, Tubi, Xumo, and Samsung and LG Smart TVs. Frederator Network owns and operates one of the largest global animation networks on YouTube, with channels featuring over 2000 exclusive creators and influencers, garnering billions of views annually.

For additional information, please visit www.kartoonstudios.com

About LiveOne, Inc.
Headquartered in Los Angeles, CA, LiveOne (Nasdaq: LVO) is an award-winning, creator-first, music, entertainment, and technology platform focused on delivering premium experiences and content worldwide through memberships and live and virtual events. LiveOne's wholly-owned subsidiaries include Slacker Radio, PodcastOne (Nasdaq: PODC), PPVOne, CPS, LiveXLive, DayOne Music Publishing, Drumify and Splitmind. LiveOne is available on iOS, Android, Roku, Apple TV, Spotify, Samsung, Amazon Fire, Android TV, and through STIRR’s OTT applications. For more information, visit liveone.com and follow us on Facebook, Instagram, TikTok, YouTube and Twitter at @liveone. For more investor information, please visit ir.liveone.com.

Forward-Looking Statements: Certain statements in this press release constitute "forward-looking statements" within the meaning of the federal securities laws. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend" or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. The forward-looking statements include statements such as LiveOne producing, publishing, and distributing all music for Kartoon Studios “Winnie-the-Pooh” films and series, including original songs, albums and soundtracks, Kartoon Studios “Winnie-the-Pooh” movie being set to premiere December 24, 2025 on Amazon Prime Video on the animated feature, A Hundred Acre Christmas, plans for five holiday specials and a104-episode animated series, LiveOne being the ideal partner to work with the Company to deliver a slate of original music integral to the production of Kartoon Studios “Winnie-the-Pooh”, translating the values, stories and characters from the original books into a dynamic soundtrack to appeal to a new generation with Kartoon Studios ‘Winnie-the-Pooh, launching a global retail program concurrent with the debut of the holiday movie with physical entertainment through Alliance Entertainment Corporation and a consumer productions program, developing the Winnie-the-Pooh animated content with a unique ‘yarn- based’ design and palette for the characters and backgrounds along with original modern stories inspired by Milne’s beloved classic books and telling the stories in a ‘Seussian style’ rhyme to provide an enriched dimension to the stories While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties, including without limitation, our ability to premiere Kartoon Studios “Winnie-the-Pooh” movie on Amazon Prime Video as planned, our ability to produce five holiday specials and a104-episode animated series, our ability to translate the values, stories and characters from the original Winnie-the-Pooh books into a dynamic soundtrack to appeal to a new generation, our ability to launch a global retail program concurrent with the debut of the holiday movie with physical entertainment through Alliance Entertainment Corporation and a consumer productions program, our ability to develop the Winnie-the-Pooh animated content with a unique ‘yarn- based’ design and palette for the characters and backgrounds along with original modern stories inspired by Milne’s beloved classic books, our ability to provide an enriched dimension to the stories by telling the stories in a ‘Seussian style’ rhyme, our ability to generate revenue or achieve profitability; our ability to obtain additional financing on acceptable terms, if at all; the potential issuance of a significant number of shares, which will dilute our equity holders; fluctuations in the results of our operations from period to period; general economic and financial conditions; our ability to anticipate changes in popular culture, media and movies, fashion and technology; competitive pressure from other distributors of content and within the retail market; our reliance on and relationships with third-party production and animation studios; our ability to market and advertise our products; our reliance on third-parties to promote our products; our ability to keep pace with technological advances; our ability to protect our intellectual property and those other risk factors set forth in the “Risk Factors” section of the Company’s most recent Annual Report on Form 10-K and in the Company's subsequent filings with the Securities and Exchange Commission (the "SEC"). Thus, actual results could be materially different. The Company expressly disclaims any obligation to update or alter statements whether as a result of new information, future events or otherwise, except as required by law.

MEDIA CONTACT:
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INVESTOR RELATIONS CONTACT:
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FAQ

When will Kartoon Studios' Winnie-The-Pooh animated feature premiere on Amazon Prime Video?

Kartoon Studios' Winnie-The-Pooh animated feature, 'A Hundred Acre Christmas,' is set to premiere on December 24, 2025, on Amazon Prime Video through Kartoon Channel's subscription distribution arrangement.

What is the scope of the partnership between Kartoon Studios (TOON) and LiveOne for the Winnie-The-Pooh project?

LiveOne will produce, publish, and distribute all music for Kartoon Studios' Winnie-the-Pooh films and series, including original songs, albums, and soundtracks.

How much production financing has Kartoon Studios (TOON) secured for the Winnie-The-Pooh project?

Kartoon Studios has secured a non-dilutive production financing of $30 million, led by Catalyst Venture Partners, for the development, production, and growth of the Winnie-The-Pooh project.

What additional content is planned for Kartoon Studios' (TOON) Winnie-The-Pooh franchise beyond the feature film?

In addition to the feature film, Kartoon Studios plans to produce five holiday specials and a 104-episode animated series for the Winnie-The-Pooh franchise.