Corus Entertainment Inc. has agreed to sell off animation software company Toon Boom Animation Inc. for approximately $147.5 million to Integrated Media Company. 

The decision was made as one way for Corus to free up capital and focus on its strategic plan for growth, the press release stated on Thursday. The net proceeds of this deal is expected to total roughly $142 million and Corus will use it to repay outstanding bank debts, it said. 

"After an enterprise-wide review of our operating model and asset base, we have decided to exit the animation software business. This move will free up capital, increase Corus' financial flexibility, and sharpen our focus as we advance our strategic plan and priorities,” Colin Bohm, executive vice-president of content and corporate strategy at Corus Entertainment, said. 

Toon Boom is used industry wide and also in classrooms. The software has a presence in 135 countries, according to the company’s website. It is used by customers for animation production in movies, TV series, games and advertisements. 

The buyer of Toon Boom, Integrated Media Company, LLC, is a TPG portfolio company that focuses on investing across the digital media landscape, the release stated. 

The deal is set to close in later end of 2023.