Saw 3 guys in suits in Asda this morning, by the childrens toys. One with clipboard, one with a handheld screen and one doing all the talking. So I butted in and asked "Is that right Asda are going to be pushing Noddy & Big Ears this Xmas?" "I couldn't possibly say" says one with a grin." "Come back and ask us next month" says another.

Couldn't get any more out of them. But I asked at Toys-R-Us which big-name characters are doing well and they said Bob-The-Builder is on the wane. (Already? Fickle lot these kids.)

No idea if "next month" was just a fob off comment (probably), but next month is also when Chorion's results are apparently expected to include some reference to a Xmas supermarket/tv/mag campaign involving Asda. Anyone got any more detail?

Results are imminent (Sept 5?) and share price is already 25% up this month ahead of them, taking it through that thrice-tested longterm 5.5p resistance level (if today's gain holds).


- - - "parp parp" - - -

This takeover talk might get things moving:



The Sunday Times - Business
December 07, 2003

War in Toy Town as Basil Brush takes on Noddy
John Waples


LOOK out Noddy, here comes Basil Brush. Entertainment Rights, the quoted media group which owns the celebrity fox, famed for his catchphrase boom, boom, is planning to march on Toy Town.
Mike Heap, chief executive of Entertainment Rights, is said to have made approaches to acquire quoted rival Chorion, which owns Noddy, but each approach has been rejected.

The proposed deal would bring together a cast of famous characters. Entertainment also owns the rights to Postman Pat, Jess the (black and white) Cat, and sells Barbie videos, while Chorion owns not only the rights to Noddy but to all Enid Blyton novels, as well as the rights to Miss Marple, Poirot and Maigret.

Like all Famous Five adventures, this one is likely to be equally packed with surprises. Lord Alli, Chorions chairman, could now face pressure from his investors to take the offer more seriously.

Investors accounting for 30% of Chorion are keen for the merger to go ahead. These institutions are thought to include Canada Life, Merrill Lynch and SociGale. Nigel Wray, the entrepreneur who owns 6% of the company, is also thought to be keen on the deal. Entertainment is offering Chorion investors either cash or a mix of cash and shares designed to give them a stake in the enlarged business. Its offer price is likely to be about 25% higher than Friday s closing price of 194p, which values the company at 33m. Entertainment has a market value of 35m.

Heap wants to create a company that can compete with Hit Entertainment, which owns some of the most popular childrens TV characters, such as Bob the Builder, and is capitalised at 418m. Entertainment and Chorion have each invested heavily in their characters. Basil Brush is about to star in his own show with Germanys biggest broadcaster. The fox, who first hit British TV screens 40 years ago, is also to become a Madame Tussauds waxwork.

Meanwhile, Chorion is banking on Noddy having a Christmas No 1 hit. This week sees the release of his debut single, the theme tune to the Make Way for Noddy TV series, to be followed by an album release expected next week.

Sales of Noddy books have now reached 200m and there are more than 400 Noddy product lines, including videos, clothing and gifts.

Heap is thought to be increasingly exasperated by the stand taken by Chorion. The last approach was made early last week. An enlarged company would cut central overheads and enable more capital to be used to promote the characters.

Noddy gives Basil the brush-off it seems.. and with words that appear to rule out any likelihood of a non-hostile merger. But each time ETR make such approaches, and COR reject them, it gives journalists/analysts another opportunity to crow about Chorion's prospects and value.

Toytown seems to be full of jostling and bullying and minor aggro.