Gores Technology Group has announced that it has reached the final stages of negotiations with French publisher Ubi Soft Entertainment to sell the entertainment division of The Learning Company. Gores acquired TLC, in its entirety, from Mattel in October 2000. The Learning Company recorded an operating profit in the first 75 days of GTG ownership, compared with the loss of more than $1.5 million per day that the unit was experiencing as a part of Mattel. By selling the entertainment division, GTG will free up the resources it allocated to that particular sector for use in TLC's core business, which includes its productivity and education divisions.

　　"This move allows our company to focus solely on its strategy to invest in and promote its core brands in the highly synergistic productivity and education divisions, which already have a substantial user base, leading market share, and consumer brand strength," said James Bailey, president of The Learning Company and group president of GTG.

　　Ubi Soft Entertainment did not comment specifically on the acquisition other than to confirm it through a brief official statement.