Authentic Brands Group privately discusses ~$6B+ takeover of Mattel at more than $20/share
What happened
The Wall Street Journal reported October 1 that Authentic Brands Group, the brand-licensing owner of Reebok and Champion, has been privately discussing a takeover offer for Mattel that could value the Barbie maker at around $6 billion or more — over $20 a share. The approach comes the day after Mattel said CEO Ynon Kreiz would step down to become co-CEO of the combined Paramount Skydance–Warner Bros. Discovery, with former Condé Nast CEO Roger Lynch taking over. Mattel shares jumped 18% to close at $15.04 Thursday, its highest close since March, after trading as high as $17.23 intraday. No formal sale process is underway, discussions are described as preliminary, and there is no guarantee Mattel will be receptive.
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Start your free 14-day trialWho’s affected
- Mattel (MAT) — directly; +18% close on a ~$6B takeout premium (~58% over Wednesday's $12.66 close); consumer discretionary/toy peers including Hasbro (HAS) — M&A speculation tends to re-rate the sector
- Paramount Skydance (PSKY) — Kreiz's destination, tangentially affected by leadership headlines.
Sources