Mattel shares jump after Hasbro takeover report
Merged toy company would hold Barbie, American Girl and G.I. Joe brands
Shares of Mattel soared Monday morning after a report that rival Hasbro had made a takeover offer for the El Segundo toymaker.
Mattel jumped 20.7 percent, to $17.64. Hasbro moved up 5.9 percent, to $96.84.
The Wall Street Journal first reported the takeover offer Friday, citing unidentified sources. It said that terms of the possible deal were not available and that the offer could go nowhere.
On Friday, Hasbro and Mattel declined to comment on the report.
A combined Hasbro and Mattel would put such brands as Barbie, American Girl, G.I. Joe and Nerf under the same roof.
Mattel has struggled with slumping sales despite the entrance earlier this year of new CEO Margo Georgiadis, a former Google executive who was expected to bring her digital know-how to the toymaker.
In late October, Mattel reported a 14 percent drop in its third-quarter sales, excluding the effect of currency fluctuations, and suspended its quarterly dividend. It blamed some of the decline on the recent bankruptcy filing of retailer Toys ‘R’ Us.