Berkshire Hathaway Inc (NYSE:BRK)(NYSE:BRK) is a conglomerate that owns many different businesses. Many know the company for the brands it owns, but some might be surprised to learn that a small toy company became part of the portfolio as a bonus and is now headed to the big screen.
Squishmallows Getting Movie Treatment
Hidden inside the Berkshire Hathaway portfolio is toy company Jazwares, which is the owner of the popular plush toy brand Squishmallows. The toy brand went viral on TikTok in recent years and continues to land top licensing deals with top brands, movies and TV shows.
Now Squishmallows is getting the movie treatment on its own.
Squishmallows is set to hit the big screen in the future thanks to a new deal signed with Amazon MGM, a unit of Amazon.com Inc (NASDAQ:AMZN). A family film is being developed by Amazon MGM with Jazwares also co-producing, as reported by Variety.
Attached to the film is producer Beau Flynn, who is known for work on "Moana" and "Jungle Cruise." Flynn is also currently working on the "Hello Kitty" animated film with Warner Bros. That film is set for a July 2028 release date.
The new Squishmallows film has an unreleased date as of now and it is currently unknown if the movie will be animated, live-action or a hybrid of both.
How Berkshire Got Squishmallows
Berkshire acquired Alleghany for $11.6 billion in 2022. The deal was done to boost Berkshire’s already massive insurance and reinsurance businesses and occurred with legendary investor Warren Buffett, the CEO of Berkshire. Buffett has since stepped down as CEO at the end of 2025.
Press releases and commentary on the deal at the time don’t even mention Jazwares or the toy business owned by Alleghany. Instead, that business is buried in the following description.
"Alleghany’s subsidiary Alleghany Capital Corporation owns and supports a diverse portfolio of eight non-financial businesses," the press release says.
Jazwares, which owns Squishmallows and also makes action figures and collectibles based on many popular franchises, is one of those eight companies.
So it’s hard to say that Berkshire Hathaway was doing the 2022 acquisition to get its hands on Squishmallows or the toy business. Instead, Jazwares has become a bonus addition to the Berkshire Hathaway portfolio and has grown into a major brand in recent years.
The brand hitting the big screen could lead to increased sales and raise brand awareness among those who aren’t already familiar with the plush toys.
In 2023, Buffett called Jazwares "a gem" and spoke positively of the couple who previously ran the toy company.
"Judd and Laura are ideal Berkshire managers," Buffett said, as reported by Business Insider.
The couple stepped down from leading the toy company in 2026.
Squishmallows that are made in the likeness of Buffett and his former business partner Charlie Munger have been available to purchase at Berkshire’s annual shareholder meeting, with some making their way to eBay for much more than the original purchase price.
Squishmallows were launched by Kellytoy in 2017. Kellytoy was acquired by Jazwares in 2020.
Under the leadership of Jazwares, the brand saw a growing following with fans coming from places like TikTok and Reddit. The increased attention and partnerships led to Jazwares hitting $1 billion in sales in 2021, with 40% of that total coming from Squishmallows.
Jazwares sold a minority stake in the business to Alleghany in 2014. The insurance company later acquired a majority stake in the toy company in 2016.
In 2023, Business Insider reported that around two Squishmallows are sold every second, with more than 600 million of the plush toys sold since launch.
Image via Shutterstock
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