The Jim Henson Company
An independent American entertainment company known for pioneering puppetry, character creation, television, film, and animatronic effects.
Last updated August 31, 2026
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Overview
The Jim Henson Company is an independent American entertainment company based in Los Angeles and associated with some of the most influential puppet characters and family entertainment properties in television and film. Founded by puppeteers Jim and Jane Henson on November 20, 1958, the company developed from a small production and commercial operation into a vertically integrated creative business spanning television production, feature films, home entertainment, licensing, distribution, digital projects, and practical and digital creature effects. The company’s best-known creative achievement is the Muppets franchise, including Kermit the Frog and a large ensemble of original characters. Henson’s work also includes the design and production of Muppet characters for Sesame Street, beginning before the program’s 1969 debut, although the Sesame Street character rights were later transferred to Sesame Workshop. The company’s television legacy includes The Muppet Show, Fraggle Rock, Bear in the Big Blue House, The StoryTeller, Dinosaurs, Farscape, Sid the Science Kid, Dinosaur Train, Pajanimals, and Splash and Bubbles. Its theatrical work includes The Muppet Movie, The Dark Crystal, and Labyrinth. Henson’s creative identity is strongly tied to the combination of puppetry, performance, design, music, comedy, and storytelling. Jim Henson’s Creature Shop, the company’s animatronics and special-effects division, has created physical creatures, puppets, prosthetics, and digital effects for Henson productions and outside clients. Henson Alternative provides more mature and experimental puppet entertainment, including live performance formats such as Puppet Up! and related improvisational projects. The company has experienced several major ownership changes. Negotiations for a merger with The Walt Disney Company were under way in 1989 but ended after Jim Henson’s death in 1990. Henson’s children then assumed control. The family sold the business to German media company EM.TV in 2000, but financial problems at EM.TV led to the Henson family’s reacquisition in 2003. In 2004, Disney acquired the Muppets and Bear in the Big Blue House properties, while Henson retained other characters, programs, production capabilities, and library assets. In the 2020s, the company continued to develop and distribute legacy properties through partners including Netflix, Apple TV+, Shout! Factory, and DeAPlaneta Entertainment. The company announced a plan in 2024 to sell its Hollywood lot and consolidate operations with Jim Henson’s Creature Shop in Burbank; the lot was subsequently acquired by film producer McG and musician John Mayer. As of the supplied reference period, the company remains family controlled, with Brian Henson as chairman and Lisa Henson as chief executive officer.
History
Jim and Jane Henson established Muppets, Inc. in 1958, building on Jim’s earlier television work, including Sam and Friends. During its first decade, the company produced commercials, appearances, short films, and other commissioned material. Rowlf the Dog, first developed for advertising, became a recurring television character and helped demonstrate the commercial potential of Henson’s puppetry. In the late 1960s, Henson began designing characters and producing short material for Sesame Street. The program’s 1969 launch brought the company’s puppetry to a large educational television audience and established a continuing relationship with the production of Sesame Street, while ownership arrangements for those characters later changed. In 1976, a partnership with producer Lew Grade led to The Muppet Show, produced in the United Kingdom for international television. Its success transformed the Muppets into a global entertainment franchise and supported expansion into records, publishing, merchandising, feature films, and home video. During the late 1970s and 1980s, Henson expanded beyond television variety programming. The Muppet Movie was followed by further Muppet films, while The Dark Crystal and Labyrinth demonstrated the company’s interest in fantasy worlds and sophisticated creature design. Jim Henson’s Creature Shop was developed as a specialist division for puppets, animatronics, visual effects, and character fabrication. The company also produced Fraggle Rock and The Jim Henson Hour and established home-video operations under changing labels and distribution partnerships. In 1989, Jim Henson and Disney chief executive Michael Eisner began discussions about a possible merger. The proposed arrangement did not reach completion. Jim Henson died in 1990, and the negotiations formally ended later that year. His children subsequently took over management, with Brian Henson becoming president, chairman, and chief executive in 1991. Through the 1990s, the company entered television, home-video, music, cable-channel, and feature-film partnerships, including work connected with Disney, Nickelodeon, ABC, Sony, BMG, and Hallmark. The Henson family sold the company to EM.TV in 2000. EM.TV’s financial difficulties soon placed the business and its assets under pressure. Rights connected with the Sesame Street Muppets were sold to Sesame Workshop, and negotiations with several prospective buyers followed. After an attempted transaction involving an investment group failed, the Henson family reacquired the company in 2003 for a substantially lower price than the 2000 transaction value. In 2004, Disney acquired The Muppets and Bear in the Big Blue House properties. Henson retained other parts of its library and continued producing and distributing new projects. Subsequent work included partnerships with HIT Entertainment, Lionsgate, Gaiam Vivendi, and other distributors, as well as computer-animated and puppet-led series such as Sid the Science Kid, Dinosaur Train, Pajanimals, and Splash and Bubbles. Henson Alternative developed adult and experimental puppet projects and live improvisational formats. The company continued to revive and extend its major properties in the streaming era. The Dark Crystal: Age of Resistance premiered on Netflix in 2019, and Fraggle Rock: Back to the Rock premiered on Apple TV+ in 2022. Henson also entered worldwide catalog distribution arrangements with Shout! Factory in 2022 and 2024. In 2024, it announced plans to sell its Hollywood lot and bring its principal company and Creature Shop operations closer together. In 2025, DeAPlaneta Entertainment became a European distributor and licensor for selected Henson properties. The company remains independently owned by members of the Henson family.
- 2025
DeAPlaneta becomes a European distribution partner
[1]The partnership covers licensing and distribution of selected Henson properties in European territories.
- 2022
Fraggle Rock: Back to the Rock premieres
[1]Apple TV+ launches a new Fraggle Rock series.
- 2019
The Dark Crystal: Age of Resistance premieres
[1]Netflix debuts a prequel series based on Henson’s fantasy property.
- 2004
Disney acquires The Muppets and Bear in the Big Blue House
[1]Disney purchases two major Henson properties while Henson retains other library and production assets.
- 2003
The Henson family reacquires the company
[1]After EM.TV’s financial difficulties, the family regains control of the business.
- 2000
EM.TV acquires Henson
[1]The Henson family sells the company to German media group EM.TV.
- 1990
Jim Henson dies
[1]The founder’s death ends the pending Disney merger discussions and begins a period of family-led management.
- 1986
Labyrinth is released
[1]The fantasy film becomes one of the company’s best-known feature productions.
- 1982
The Dark Crystal is released
[1]Henson expands into fantasy filmmaking through an effects-intensive puppet feature.
- 1979
The Muppet Movie is released
[1]The company’s characters make their feature-film debut in a successful theatrical production.
Products and positioning
An independent, creator-led entertainment studio built around premium puppetry, imaginative character worlds, family storytelling, practical creature effects, and long-lived intellectual property.
Television and film franchise · 1958
The Muppets
The company’s signature ensemble of puppet characters, led by Kermit the Frog, developed through television, theatrical films, recordings, live appearances, merchandising, and other media. Henson created and produced the foundational Muppet works, although Disney acquired the principal Muppets property in 2004.
Television franchise · 1983
Fraggle Rock
A musical fantasy puppet series created for international television, Fraggle Rock became one of Henson’s most durable original properties. Its characters and setting have supported specials, live appearances, catalog releases, and the later Apple TV+ revival Fraggle Rock: Back to the Rock.
Film and fantasy franchise · 1982
The Dark Crystal
A fantasy world built through elaborate puppetry, creature design, and practical effects. The 1982 film was followed decades later by the Netflix prequel series The Dark Crystal: Age of Resistance and continuing catalog distribution.
Feature film · 1986
Labyrinth
A fantasy feature combining Henson’s creature work and puppetry with live-action storytelling. It remains a prominent part of the company’s film library and was included in a later worldwide distribution arrangement with Shout! Factory.
Creature effects and animatronics · 1979
Jim Henson’s Creature Shop
A specialist production division creating puppets, animatronic creatures, practical effects, and digital character work for Henson projects and external productions. Its capabilities extend the company beyond branded entertainment into client and production services.
Children’s television franchise · 1997
Bear in the Big Blue House
A preschool television property produced by Henson and centered on an ensemble of puppet characters. The property was among the assets sold to Disney in 2004.
Television anthology · 1987
The StoryTeller
A fantasy and folklore anthology that used puppetry, makeup, creature effects, and live-action performance to retell traditional stories. It exemplifies Henson’s development of visually ambitious television beyond the Muppet format.
Adult and experimental entertainment
Henson Alternative
A company label and creative area focused on adult-oriented, unconventional, and improvisational puppet projects, including Puppet Up!, Puppet Improv, and Stuffed and Unstrung.
Brand decisions
2024
Planned sale and operational consolidation of the Hollywood lotStrategyBackground
The company stated that its Hollywood property did not provide sufficient space to place the wider company and Creature Shop under one roof.
Action taken
Henson announced plans to sell the lot and consolidate operations around its Burbank facilities.
Aftermath
The property was acquired later in 2024 by McG and John Mayer, while the company continued its broader operational strategy.
2004
Sale of The Muppets and Bear in the Big Blue House to DisneyM&ABackground
Henson pursued a transaction involving two of its most commercially prominent properties.
Action taken
Disney acquired The Muppets and Bear in the Big Blue House properties.
Aftermath
Henson retained other programs, characters, library rights, and production capabilities, while Disney established a dedicated Muppets business.
2003
Family reacquisition from EM.TVM&ABackground
EM.TV’s financial problems placed The Jim Henson Company back on the market after the 2000 sale.
Action taken
The Henson family completed a reacquisition of the company.
Aftermath
The business returned to independent family ownership and continued operating through partnerships and retained library assets.
Reported closing price. 84 million USD (2003 transaction)
2000
Sale to EM.TVM&ABackground
The Henson family transferred ownership of the company to German media group EM.TV.
Action taken
EM.TV acquired Henson and later attempted to manage or sell parts of its portfolio after experiencing financial difficulties.
Aftermath
The Henson family reacquired the company in 2003.
Reported acquisition value. 680 million USD (2000 transaction)
1989
Merger discussions with The Walt Disney CompanyM&ABackground
Jim Henson and Disney chief executive Michael Eisner discussed a possible merger involving the company and a long-term creative-services arrangement.
Action taken
The parties negotiated but did not complete the transaction; discussions ended after Jim Henson’s death in 1990.
Aftermath
The company remained independent and was subsequently managed by Henson family members.
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