Posted in: Comics, Current News | Tagged: bankruptcy, diamond

Alliance Entertainment Buys Diamond Comic Distributors

Alliance Entertainment buys Diamond Comic Distributors after Chapter 11 Bankruptcy Auction

Alliance Entertainment Holding Corporation has announced that it has been selected as the winning bidder to acquire substantially all of the assets of Diamond Comic Distributors after Chapter 11 bankruptcy proceedings. Alliance Entertainment is a global distributor and wholesaler specializing in music, movies, video games, electronics, arcades, and collectables. The proposed acquisition, which is subject to Bankruptcy Court approval, includes Diamond Comic Distributors (U.S.), Alliance Game Distributors (no relation), Diamond Select Toys & Collectibles, and Collectible Grading Authority. No mention of Diamond UK, Diamond Select Toys, FandomWorld, Gentle Giant or Free Comic Book Day.  I am hearing that there were multiple competitive bids and that the price Alliance paid was significantly more than anyone anticipated, which should be good news for publishers.

"This is a transformative opportunity to expand our leadership in the world of gaming and physical collectables and deepen our reach into thriving fan-driven categories," said Jeff Walker, CEO of Alliance Entertainment. "With their legacy of exclusive titles, deep retail relationships, and strong presence in comics, tabletop games, and collectable merchandise, these businesses are highly complementary to our existing distribution and fulfilment model. We see powerful cross-selling potential between our product lines and customer bases, expanding the reach of our expanded product portfolio across both mass retail and speciality channels."

"We're incredibly honoured to welcome the talented teams from Diamond Comic Distributors, Alliance Game Distributors, and Collectible Grading Authority to the Alliance Entertainment family," said Bruce Ogilvie, Executive Chairman of Alliance Entertainment. "These are passionate professionals who have built deep relationships across the fandom, hobby, and collectables communities. We look forward to supporting them, learning from them, and investing in their success. To the suppliers, creators, and publishing partners that make this ecosystem so dynamic, we're excited to collaborate and build lasting value together. And to the customers who rely on these brands every day, we remain committed to delivering the excellent service and reliability you expect, and taking it even further."

Alliance Entertainment CEO Jeff Walker started out in the entertainment industry as the owner and operator of CD Listening Bar, a venue for music fans to gather together and connect over their mutual passions. Jeff founded music wholesaler Super D in 1995 and, with business partner Bruce Ogilvie merged AENT and Super D in 2013 to be the market leader in physical media distribution for music, movies, toys, collectables, and consumer electronics.

Alliance Entertainment states that they will gain deeper access to a highly engaged community of retailers and fans who form the backbone of the direct market.

Alliance Entertainment states that they have "substantial account overlaps already identified", introducing Diamond's distribution into Alliance's mass retail and e-commerce channels while bringing Alliance's catalogue of physical media and licensed merchandise into comic book and game stores.

"This transaction will position Alliance to deliver long-term value by bringing together some of the most iconic fan-driven brands in the world with the industry's most efficient and scalable distribution platform," added Walker. "It aligns directly with our strategy to grow through high-impact, capital-light opportunities that strengthen our market share and expand our margin potential. By integrating these assets, we're increasing our product exclusivity, expanding retail and e-commerce reach, and unlocking new cross-channel synergies, all while staying disciplined in our operational execution. This is exactly the type of opportunity that supports our long-term goals for sustainable growth, profitability, and shareholder value."

Alliance Entertainment states that it intends to finance the acquisition through "an amendment to its existing $120 million Revolving Credit Facility, which it expects to increase to $160 million. The amended facility will be secured by a pledge of the acquired assets alongside the Company's existing collateral. The transaction and credit facility amendment are expected to close in April 2025, subject to final bankruptcy court approval and customary closing conditions." More to come of course…

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