Status report: Why is Alliance hiring Diamond Comics employees and more

What’s going on in the post-Diamond Era? It’s been a little bit since I summed up developments, so here’s a rather longish status report on announcements, rumors, and more. 

Just as a refresher, here are the players: 

DIAMOND COMICS: a 43 year old company founded by Steve Geppi that until 2020 was the premiere distributor to the direct market of comics shops in the US. Divisions include Alliance Games distributors, which distributes table top games; Diamond Select Toys, a collector toy company, and Diamond UK, among others. They announced their bankruptcy on January 14th. NOTE: To avoid confusion (as you will see) I will refer to Alliance Games as “Diamond” Games below

UNIVERSAL DISTRIBUTION: A Canadian distributor of games, toys and comics. The company was founded by current CEO Angelo Exarhakos, and they have a deal to distribute DC Comics in Canada. After a lengthy process, Universal purchased Alliance Game Distributors (“Diamond” Games) at bankruptcy auction, with the sale closing on May 16th.  

AD POPULUM: A holding company owned by Joel Weinshanker which owns NECA Toys, WizKids, KidRobot, Enesco, Rubies, Party City, Amscam and a few more companies. On May 16th they acquired Diamond Comic Distributors, Diamond Book Distributors, Diamond Select Toys & Collectibles, Collectible Grading Authority and a few other unnamed assets. 

ALLIANCE ENTERTAINMENT: a media wholesale and retail distribution company that specializes in music and DVDs, founded and run by Bruce Ogilvie and Jeff Walker. They have been increasingly getting into toys and games, and tried unsuccessfully to acquire Diamond’s assets – initially the successful bidder for the company, but later cancelling the deal over claims of being misled by Diamond. They have sued Diamond twice.  

OK GOT IT??? Let’s see who is doing what as the dust settles. 

UNIVERSAL HIRES KEY DIAMOND STAFF AND HAS PLANS

Despite the fact that Universal purchased “Diamond” Games, a company that fits very smoothly into Universal’s existing business, I haven’t heard too much about that side of the business. Maybe it’s all going well? I hope so.  

What I have been hearing is that Universal plans to move into the US comic book/direct market distribution business. I have been hearing this since 2020, but of late I’m hearing it is in active development. Universal has hired Diamond’s two top execs, and possibly more of their personnel, including, I’m told, the one person who knows how to run Diamond’s very antiquated computer systems. While Universal hasn’t made any public facing statements about this, they have been telling some publishers of their plans. The only public evidence of this is a tiny mention of Universal in Udon Entertainment’s announcement of their future plans. However I’ve heard this from so many people that I’m convinced this is the plan. 

That doesn’t mean it’s going to happen, of course. As we’ve seen in all of this, there are many twists and turns. But as of this moment, my understanding is that Universal will use the “Diamond” Games network as a starting point for this effort, but a crucial matter is warehouses.  You need a lot of space to store a lot of comics. Universal did not acquire the lease on Diamond’s Olive Branch facility (Ad Populum got that), but “Diamond” Games has a large facility in Fort Wayne that might be useful to these efforts. And they announced an open house for this September! 

As to why Universal has kept mum about all this publicly? Well, there are legalities and deals being made. So when it’s ready to come out of the oven, we’ll all know. 

ALLIANCE ENTERTAINMENT HAS HIRED SEVEN FORMER DIAMOND EMPLOYEES:

This was covered at ICv2: Among the most prominent, former Damond VP of Sales Mike Schimmel has been hired as Senior VP of Sales at Alliance. ICv2 has the whole rundown, but as they made it LinkedIn official other hires include:

Ryan Shelkett, VP Purchasing
Matthew Demory, Product Manager/Buyer
Lee Butman, Product Manager/Buyer
Joe Lunday, Director of Collectible Sales
Trista Peterson, Sales Director – Collectibles
Brennan West, Product Manager

Most of these folks have a toy/collectible background, but Demory worked in the comics end of things. 

Now why is Alliance doing this? I think I can answer that. I’m now on the Alliance PR list, and just yesterday they announced a new line of My Hero Academia collectibles:

My Hero Academia – Izuku Midoriya “Deku” #289

Alliance Entertainment Holding Corporation (Nasdaq: AENT), a premier distributor and fulfillment partner of entertainment and pop culture collectibles, today announced that its Handmade by Robots™ division has officially entered the anime category with the launch of its first licensed vinyl collectibles based on the hit franchise My Hero Academia. The debut figures — featuring fan-favorite heroes Izuku Midoriya and Shoto Todoroki — represent a strategic expansion into one of the fastest-growing segments of the global collectibles market.

This launch positions Handmade by Robots to capitalize on the surging global demand for anime merchandise — a market that reached a record $22 billion in 2023, according to the Association of Japanese Animations. With double-digit annual growth and a fiercely loyal fanbase, anime has become a cornerstone of global entertainment and a major driver of licensing revenue across categories including apparel, gaming, streaming, and collectibles.

“Anime represents one of the most dynamic and influential segments in global entertainment,” said Jeff Walker, Chief Executive Officer of Alliance Entertainment. “Expanding Handmade by Robots into this category is a meaningful step forward in our strategy to grow high-value, fan-driven collectibles. Launching with characters like Izuku Midoriya and Shoto Todoroki reinforces our commitment to aligning with powerful, proven franchises that resonate across cultures and generations.”

Even allowing for PR-speak, “our strategy to grow high-value, fan-driven collectibles” seems a pretty clear statement on why Alliance wanted to buy Diamond, and that although that plan didn’t work out (to put it mildly), they are continuing to move into the collectible business. So hiring a bunch of unemployed Diamond folks makes a lot of sense. 

BTW this strategy was also mentioned in AENT’s latest quarterly report: 

Consumer products revenue decreased from $9 million to $8 million (-$1 million, -8.7%) for the three months ended March 31, 2025, compared to the prior year period. The average selling price declined by 31.5%, and although volume increased by 32.3%, it was not enough to offset the pricing decline, resulting in an overall decrease in revenue. Sales were primarily impacted by changes in supply chain dynamics and purchasing strategies, along with the absence of standout or high impact releases this year. Consequently, the average selling price per unit declined. However, following our acquisition of Handmade by Robots, we anticipate a strong lineup of new theatrical and streaming releases that we anticipate will drive collectible and merchandise sales, and boost margins. The collectibles market remains an integral part of the entertainment segment, driven by its mix of nostalgic, investment, and intrinsic value. Working to align our offerings with market trends and consumer preferences will be key as we deepen our partnerships with key licensors of these franchises.

WHAT IS AD POPULUM DOING?

Well, that is a good question! We don’t have much guidance on that. But see below. One thing to remember: they have huge piles of backstock from dozens of publishers in that Olive Branch warehouse. 

WHAT ABOUT DIAMOND UK?

Your guess is as good as mine. It hasn’t been mentioned publicly in a while, and Universal’s proposed acquisition hasn’t gone through yet, as far as I know. Maybe it did? My DMs are open.  

MEANWHILE DOWN IN THE INDIE PUBLISHER TRENCHES

Even as far back as January 14th, the biggest concern in the Diamond bankruptcy fallout was what would happen to all the small publishers who relied on Diamond for distribution to comics shops. We’ve already seen a few smaller publishers shut down, or go on hiatus, and more moves hit my inbox this week:

SLG PUBLISHING TURNS TO SELF-DISTRIBUTION

You might have forgotten that Dan Vado’s SLG was still around but they are. The press release was vintage Vado, with a withering deck:

SLG PUBLISHING TO SELF-DISTRIBUTE COMICS AND GRAPHIC NOVELS TO COMICS RETAILERS
Poorly Executed Diamond Comics Sale Leaves Small Publisher With No Direct Market Distribution.

SLG Publishing’s founder and president Dan Vado announced that the company would accept orders directly from comic book retailers for its comics and graphic novel products in the wake of the continuing issues with Diamond Comics Distribution.

“Truth be told, we have always sold directly to retailers,” said SLG President Dan Vado. “Selling directly to retailers was one of the cornerstones of our early success when nobody would backstock our titles.”

SLG Publishing, which is best known for its eclectic creator-owned titles like Johnny the Homicidal Maniac by Jhonen Vasquez and Rex Liris by James Turner, will now put a renewed effort into selling to comic shops directly both for its backlist and new releases.

“Diamond’s collapse has forced a lot of publishers to rethink their relationship with the market,” Vado continued. “For us, this is an opportunity to return to our roots and re-engage directly with what has always been a steady and reliable and important stream  — comic shop owners.”

For now, retailers should contact the company directly via email to place orders. “I realize that, for the most part, people are mostly concerned about the one or two titles that have always been perennial sellers, and we have always worked diligently to keep them in print,” Vado added “However we still publish 3-4 new books per year and will gladly offer competitive wholesale terms on those titles as well.” 

Retailers can expect a 50% discount and can get discounted shipping rates for orders over $300.

SLG is working on a website solution for wholesale orders, so in the interim, retailers can reach out directly to the company via email at [email protected] “Diamond, or whoever, still has inventory on most of our titles, and they can be reordered from them until they run out, but it might not be a bad idea to reach out and establish an account with us to make future ordering and updates easy”

Vado added that he had no illusions about the amount of business that might come the company’s way through direct distribution “It’s easier not to carry something that only sells a few copies here and there, but I think there is a virtue for retailers to maintain a diverse look in their stores and not concede every single sale to Amazon.”

---

Other small publishers have also announced they are taking a break. Hero Tomorrow Comics, a small outfit run by Ted Sikora, announced a hiatus:

Early this year the main distributor for indie publishers, Diamond Comics, filed for Chapter 11 bankruptcy placing a huge cloud of uncertainty over the industry. Many companies released books but didn’t receive payment, while others have shut down operations permanently.

Hero Tomorrow Comics decided to hold back future releases until an expected acquisition of Diamond was completed. That acquisition has been ridden with plot twists that would make M. Night Shyamalan blush. As I’m looking at alternative avenues to get our comics in shops, it’s been a perfect time to stay more creative on the writing side.

The two issues that make up Punchline and the Vaude-Villains’ epic conclusion will be next (whenever next is.)

Sikora went on to update the rest of their line, but if you want to hear it from him directly, they’ll be at many upcoming comics shows:

June 7-8      3 Rivers Con (Pittsburgh)
June 12        Summit Artspace Walk (Akron)
June 20-22  Heroes Con (Charlotte)
June 27-29  Tremont Food Truck Fest (Cle)
July 11-13     Galaxy Con New Orleans
July 23-27    San Diego Comic Con International
Aug 3            Neo Comicon (Cleveland)
Aug 29-31    Nightmare Weekend Cleveland

NYCC, Baltimore, Akron, LA Comic Con — more TBA

Apex Books, a small genre prose publisher, also posted of the troubles following the Diamond bankruptcy:

Immediately, this was disastrous for Apex. ChloroPhilia by Cristina Jurado was already shipped and in Diamond’s warehouse. The same for The Map of Lost Places, a title that constituted our largest print run to date and one of our largest marketing spends in the history of the company.

To be honest, this hurt far more than we care to admit. Somehow, the company is still standing. Many of our small and independent publishing colleagues on the comics side have given up. The only reason we’re still open is that 2024 was a strong year for Apex and we had enough enough in reserve to limp along for awhile.

Compounding the issue is that Apex and all the publishers under Diamond were strung along as the bankruptcy was dragged out far longer than expected. We were asked to ride it out with them, that as far as Diamond was concerned, it was “business as usual”. We cancelled the retail launch of We Who Hunt Alexanders (it will now be a POD-only title). We also indefinitely postponed our reissue of Plague Birds that was planned for the fall. 

Between the investment in books that will never reach retail bookshelves and the loss of sales revenue, it’s a minor miracle that we’re still here.

But that’s the thing. We’re still here.

The Apex team isn’t giving up. There is still some fight left in these old alien bones.

One assumes similar decisions – and similar plucky declarations – are being made at other publishers who haven’t publicly announced it. The herd is being thinned.

OTHER FORMER DIAMOND BUSINESSES CONTINUE TO BE AFFECTED

The fate of ComicSuite, a POS system that many retailers relied on, is a big problem. The staff that runs it was laid off and now it isn’t working. That is a problem when you rely on it to track inventory and sales.  Packrat Comics is taking things into their own hands: 

Due to Diamond’s recent bankruptcy, ComicSuite is no longer supported by the company’s new owners, and the system is no longer functioning properly. Earlier this year, we began developing our own subscription management system, and its rollout is happening a bit sooner than expected.

Please take a moment to review your subscriptions during your next visit to ensure everything is accurate.

The shutdown of Diamond Select Toys has also affected collectors. Pre-orders have been cancelled leaving a lot of disappointed fans. One brave Redditor has even started a petition to get Ad Populum to continue their Lord of the Rings line. 

DST has produced some really good stuff with their LOTR line. I’d be the first to say that I’ve had my issues (scabbards not always being attached, some limited poseability, etc) – but it was clear the team had passion, love and enthusiasm. And it showed. I consider their LOTR line genuinely great.

More so than that, it’s the fact we finally had a dedicated LOTR figure line for that scale after decades of wilderness and waiting. A line that didn’t go for a cartoony look but instead tried to match what ToyBiz did years ago. We were finally getting to explore the much-needed Hobbit era too – which is still a goldmine for figures to this day (damn you Bridge Direct for abandoning the line!).

So this is a call to arms. I hope we can get enough signatures to at least SHOW the folks at Ad Populum we don’t want the license dropped. The DST LOTR line was selling well, please continue it. Or at the very least, please give us the existing pre-orders (Eowyn, Witch King, Tauriel, Bilbo, Galadriel, Aragorn). We know we had Gandalf the White and Azog ready too.

---

In other words, the mess continues. 

But this is just a small representation of the ripple effect of Diamond shutting down. I spend a good bit of my day everyday checking in with various folks, including publishers, retailers and “industry observers.” I could honestly spend all my time reaching out to publishers and retailers to get a clearer picture of how all this has affected them and their plans for the future, and I regret that I don’t have the time to do so. These things matter.   

One personal note: while I was working on this round-up, I reread my notes on the podcast interview with Alliance Entertainment’s Bruce Ogilvie. At the time it seemed full of disruptive statements. However given the chaos that has unfolded since, Ogilvie seems like one of the most refreshingly candid and down to earth people in the whole affair. His impressions of the players listed above are colorful and frank. If you haven’t read it since it came out, give it another read now. A lot of what he said takes on a very different meaning given the tumult of the last two months. 

Did I miss anything above? Did I get something wrong? My email is open as always: heidi at comicsbeat dot com.