Atlantic Candy will produce the product using the firm’s Safe Capsule, which overcomes a 1938 ban on "non-nutritive items" inside confectionery in the US.
The company will produce the bear-shaped candy brand at its factory in Augustine, Florida.
Care Bears on Netflix
The children’s franchise Care Bears was introduced by American Greetings in 1982 and first appeared on TV screens a year later. Today, Care Bears has a YouTube channel with new and classic episodes that have attracted around 5m views.
A Care Bears Netflix Original series began in fall last year, while classic episodes are also available on the video streaming platform.
Atlantic Candy has just completed the initial phase of upgrading its chocolate-toy manufacturing line with new molds and packaging equipment. This will allow it to create a bear-shaped capsule encased with candy that will contain Care Bears collectible toys.
“We are also introducing other shapes and products in the next month or so,” company owner Hank Whetstone told ConfectioneryNews.
Atlantic Candy will add additional molding and packaging capabilities in early 2017, taking its overall capacity to 110 million units a year.
Atlantic Candy owner Hank Whetstone previously worked for family business the Whetstone Candy Company, which was a contract manufacturer for some of the biggest industry players, producing brands such as Nestlé Magic, Hershey Kiss with almond, Hershey Nugget and M&M’s hollow characters with M&M’s inside.
Contact manufacturing deals
Whetstone, told ConfectioneryNews in January that he was free to produce toy-filled confections using his Safe Capsule for the entire industry with his Atlantic Candy business.
Whetstone’s patents were previously exclusively licensed to Yowie and Choco Treasure in the US. The Atlantic Candy owner sold European rights for his patents to Kinder Surprise maker Ferrero in 2004.
Yowie ended its contract manufacturing deal with Atlantic Candy in November last year, having agreed terms with an alternative supplier, Madelaine Chocolate Novelties Inc., in October.
Yowie and Atlantic Candy are now engaged in civil action at courts in New York and Florida.
Whetstone said his Safe Capsule contract manufacturing deal with American Greetings was non-exclusive.
“While we can produce for others, we have declined to enter into any other agreements at this time.
“We are pursuing the opportunity with a team of seasoned industry professionals. Care [Bears] is the first of many several licenses we have planned for this category,” he said.