Mattel (MAT) news that moved the stock

What happened

U.S. District Judge Araceli Martínez-Olguín entered a consent decree Wednesday (Sep 30) approving the Sept. 21 settlement with a California-led group of 12 states, lifting the no-close order that had blocked Paramount Skydance's $110 billion acquisition of Warner Bros. Discovery. The companies said in a late Wednesday statement that the deal is expected to close October 6, subject to customary closing conditions. The judge called the settlement 'a reasonable factual and legal resolution,' rejecting objectors' bid for a tougher decree. In parallel, the companies settled a separate Writers Guild of America antitrust suit for $17.5 million to the guild's health fund plus WGA staffing-level commitments at CBS News for five years.

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.