Toho Animation has acquired GKIDS, a prominent North American animation producer and distributor, in a strategic move to bolster its presence in the entertainment industry.

As part of the acquisition, GKIDS founder Eric Beckman will continue as CEO, while president Dave Jesteadt will maintain their roles, ensuring continuity in the company's operations.

While the financial details of the acquisition remain undisclosed, it is confirmed that Toho will own 100% of GKIDS.

This acquisition follows a history of successful collaborations between Toho and GKIDS, including notable films like 'Godzilla Minus One' and Studio Ghibli's 'The Boy and the Heron,' which recently became the highest-grossing film for Studio Ghibli in the U.S.

Both Beckman and Jesteadt expressed enthusiasm about the partnership, emphasizing that it will enable GKIDS to deliver more exceptional films while championing animation as an art form.

The acquisition is expected to enhance competition against major players like Disney and Netflix in both box office performance and awards recognition.

North American audiences may benefit from easier access to Toho's films and TV shows as a result of this acquisition.

Despite concerns about potential layoffs following the acquisition, GKIDS reassured that it will continue its diverse distribution model.

Toho aims to leverage its resources to broaden the distribution of animation, aligning with its strategic mission to prioritize this genre and develop international markets.

Toho's President Hiro Matsuoka highlighted that GKIDS' unique position in the U.S. market aligns with Toho's goals of expanding internationally and supporting IP creation.

GKIDS is recognized as a leading distributor of anime in the West, known for its access to the Studio Ghibli library and for releasing critically acclaimed films.

This acquisition is part of Toho's broader strategy, which includes previous acquisitions like the animation studio Science SARU and investments in production companies such as Fifth Season.