Scholastic to acquire Cottage Door Press for $71 million

Scholastic Corporation has entered a definitive agreement to acquire Cottage Door Press, an independent early childhood publisher, for approximately $71 million. The deal, which is expected to close by the end of 2026, follows the spin-off of Cottage Door’s Luna StoryTime interactive toy line. Scholastic intends to fund the acquisition through cash on hand and existing credit facilities. The move is a strategic effort to expand Scholastic’s presence in the interactive board book and novelty format market.

Following Scholastic’s recent quarterly earnings report, which showed a revenue of $216.80 million and an earnings per share (EPS) miss, financial analysts have issued varying updates. Sidoti analysts adjusted their EPS forecasts for Scholastic, with one report lowering Q3 2027 estimates while another adjusted Q2 2027 expectations. Other firms, including Zacks Research and B. Riley Financial, have recently updated their ratings and price targets for the company.