LONDON (ShareCast) - (ShareCast News) - According to reports, Hasbro was toying with the idea of acquiring competitor Mattel, makers of Barbie, in a move that would see the two biggest names in the industry combine to create a multinational powerhouse.
The transaction would give both companies more power at the negotiating table when it came to television and film franchising of its properties.

Both firms had yet to make any comments regarding the proposed acquisition.

While Mattel's receptiveness to the rumours was not known, the firm's shares had fallen as much as 47% in 2017, whereas Hasbro had seen an almost 18% increase in its stock price.

In late October, Mattel suspended its dividend and let go chief executive Margo Georgiadis, who had only taken the job in January, before warning the company would fall short of its full-year revenue forecasts.

Hasbro and Mattel had discussed the idea of a merger several times over the years, most recently in 1996 and 2015.

As of 1400 GMT, Mattel shares had gained 22.78% in pre-market trading to $14.62 each, and Hasbro had seen a 4.56% jump to $91.45 per share.

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