Nov 13, 2017

Hasbro has offered to acquire Mattel

The 2016 Barbie Fashionistas line is displayed at the New York Fair, Friday, Feb. 12, 2016. Photo: Diane Bondareff / AP Images for Mattel

Hasbro (Nasdaq: HAS) has offered to acquire rival toy-maker Mattel (Nasdaq: MAT), as first reported by the WSJ. Mattel closed Friday trading with a market cap just north of $5 billion, but its shares spiked around 25% in aftermarket trading.

This would be a merger of the country's two largest toy-makers. Plus, it may cause major jealousy issues for Ken, as Barbie and GI Joe would be living under the same corporate roof.

Bottom line: These are two companies moving in opposite directions, as Hasbro shares are up around 13% this year while Mattel was off 47% before news of a possible sale. One differentiator for Pawtucket, R.I.-based Hasbro has been its strategy of buying toy rights to popular entertainment franchises like Star Wars.

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