Wildbrain acquires Personality AI for $11M
The $11M cash payment is only the upfront portion. WildBrain also issued 1 million of its shares at closing, which traded at CAD 1.47 on the Toronto exchange the day before the announcement. A further US$2M is due on the first anniversary of closing, payable in up to 1 million shares with any balance in cash. Up to US$56M more in cash depends on revenue targets in calendar 2027, 2028 and 2029, which puts the total near US$69M. The shares issued to the sellers carry a six-month lock-up. Founder John Goscha becomes an executive vice president reporting to CEO Josh Scherba. WildBrain expects the business to add to EBITDA in fiscal 2027. Personality AI was founded in 2025 and is based in Los Angeles. Amazon picked it to build a generative AI platform for Amazon Kids+. It also built Hey Peppa Pig, a voice experience that launched in December 2025 on Fire Kids tablets. Its pitch rests on moderated interactions, child development input and no storage of voice recordings or personal data. For founders building AI products on top of licensed IP, the deal shows where one buyer sees value: child-safe design and approved single-instance characters, sold to rights holders. The structure also matters. Roughly 80% of the headline value is contingent on revenue, so the payout depends on turning pilots into recurring contracts.