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Schwarzenegger Becomes Investor in Genius Brands

A scene from 'Superhero Kindergarten.' (Image credit: Genius Brands)

Arnold Schwarzenegger has become an investor in Genius Brand International as part of his agreement to star in and co-produce the show Stan Lee’s Superhero Kindergarten.

News of Schwarzengger’s financial commitment sent Genius Brands stock up 12% in pre-market opening trading Monday.

Arnold Schwarzenegger

Arnold Schwarzenegger (Image credit: Genius Brands)

As part of his deal for his involvement with Superhero Kindergarten, the former governor of California received warrants to purchase shares of Genius Brands’ common stock as an advance against his profit participation. Future payouts will likely be made in cash.

“We are grateful to have Arnold, not only as a co-producer, but also as a warrant holder, which is a tribute to his belief in both the series and Genius Brands,” said Andy Heyward, CEO of Genius Brands. "Not only is Arnold a legendary entertainer and a leading voice in promoting children’s education and fitness, he is a uniquely accomplished investor who brings the perspective of having been Governor of California, the 5th largest economy in the world. I can think of no better or smarter partner.”

Superhero Kindergarten is one of the legendary Marvel comic book creator Stan Lee’s last projects. The show will premiere in 2021 on Amazon Prime in the U.S. and is co-produced by Genius Brands with the Alibaba Group, Lee’s Pow! Entertainment and Schwarzenegger’s Oak Productions.

“I am honored to help realize Stan’s vision of creating a children’s cartoon series that not only entertains with superhero adventures, but also imparts valuable lessons about the importance of health, exercise, nutrition, anti-bullying, and diversity,” said Schwarzenegger. “Andy Heyward is one of the industry’s most respected producers of children’s programming and working together we will be able to bring to life our shared vision of ‘content with a purpose,’ which parents can enjoy alongside their children while taking comfort in the moral and educational focus.”