Coolabi to be sold

Bagpuss owner Coolabi is to be taken over by private equity investor North Promotions in a deal worth over US$6.6 million.

The international kids producer and intellectual property rights holder received the bid from the company, which is an investment vehicle operated by venture capital trust Edge Performance.

Coolabi, which also owns the rights to Purple Ronnie, The Clangers and The Worst Witch, said in a statement: “The independent directors of Coolabi announce that they have reached an understanding, in principle, with North Promotions regarding its potential offer for the company, which is 7.75p per share in cash with a share alternative in North.”

New financial rules state that came in recently state that bidders for public companies must be formally named and this deal marks one of the first instances to abide by this takeover rule.