ICv2 are reporting that the Draw Another Circle purchase of Hastings as been approved. Draw Another Circle is a company owned by Joel Weinshanker, owner of WizKids and their parent company NECA.
This looks like a case of vertical expansion as Weinshanker takes control of some 126 superstores and an ecommerce platform that sells geeky goodies from electronics and NECA and WizKids ranges. At the time of writing There are some 640 NECA products for sale at goHastings.com with three HeroClix products in the top 5 best selling NECA items (behind a Godzilla minifig).
The current CEO of Hastings will depart. This means that the founding Marmaduke family has left the business entirely. They won’t be leaving empty handed though as it is reported John Marmaduke gets a $1.5m severance and CFO Dan Crow taking $750,000 with him. This in addition to stock redemption that they and all shareholders will enjoy.
The deal was delayed by a lawsuit which questioned whether the purchase price was high enough.
