DreamWorks Animation is reportedly in negotiations to merge with Hasbro, presumably making the latter's wide library of intellectual property available for adaptation by the former.
With the Transformers and G.I. Joe franchises making a bundle at the box office and a My Little Pony animated feature film in the works, Hasbro has been doing pretty well independently. Still, DreamWorks have a reputation for creating animation that rivals Disney and Pixar in quality, but without the memorable stories and characters that make the House of Mouse the undisputed champion of the animation world.
Deadline, who has the story, claims that Dreamworks is also in talks with Hearst to turn Dreamworks Animation's AwesomenessTV into a joint venture.
They say that the Hasbro merger is at least two months out, but that Dreamworks' Jeffrey Katzenberg would chair the combined operation.