Seedling has announced its merger with LA-based company P.S. XO, an e-commerce children’s party goods company.

The company is now known as Seedling, and will join together the strengths of each individual entity with investors who will support continued growth.

Auckland-based Seedling is an internationally recognised toy and craft brand, while P.S. XO has developed comprehensive and innovative e-commerce capabilities.

“We are excited to join with P.S. XO and their exceptional tech team to find new ways to make meaningful innovation in the e-commerce space. We look forward to leveraging Seedling’s distribution partnerships to bring our new offerings to parents everywhere,” Phoebe Hayman, founder of Seedling, who will be the CEO of the newly-combined entity, said.

P.S. XO cofounder Kara Nortman, who will be on the board and serve as the chairperson of the new company, said that Seedling provides a strong partner to the business with its global reach and wide assortment of award winning products.

Upfront Ventures and Greycroft Partners have also provided $US7 million in new funding for the company.

“Merging Seedling and P.S. XO was an absolute no-brainer for us,” Mark Suster, Upfront Ventures partner, said.

“The toy and crafting markets are an $83 billion dollar market globally, and the power of Seedling’s well-known products plus P.S. XO’s e-commerce capabilities was a marriage made in heaven.”