The Wall Street Journal (paywall) is reporting via undisclosed sources that Hasbro has been in talks to takeover Mattel. This has been rumored before but apparently has fired back up recently. No specifics, costs, or process have been revealed at this time. Hasbro is currently worth near 11 billion, while Mattel is worth 5 billion. The acquisition would put Barbie, Transformers, G. I. Joe, Nerf and Hot Wheels under one roof, not to mention licenses for both DC and Marvel, creating a truly dominant market player.
The offer takes place against the backdrop of an industry in the throes of deep change. The bankruptcy filing of Toys R Us, the children’s store giant, has reverberated across the toy industry.
Mattel shares, which have taken a beating amid weak sales results, skyrocketed by more than 20 percent in after-hours trading on the Hasbro news. Hasbro shares jumped more than 2 percent on the same report.
Both companies declined media requests for comments.
Let us know what you think about the possibility of this juggernaut!