Need an 8 sentence summary. Please do perfectly, thank you Toy story: Hasbro in

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Need an 8 sentence summary. Please do perfectly, thank you

Toy story: Hasbro in takeover talks with Mattel

James Dean, US Business Editor

November 11 2017, 12:01am, The Times

The deal would bring together Mattel, the maker of Barbie, with the maker of Transformers, creating a business with a combined value of nearly $17 billionMATTEL/REUTERS

Hasbro, America’s biggest toymaker, has offered to buy Mattel, the country’s second largest, in a deal that would bring together brands such as Barbie, Transformers and My Little Pony. A merger, which would create a business with a combined value of nearly $17 billion, comes after years of declining sales at Mattel and a corresponding fall in its share price. Hasbro has been on the hunt for acquisitions for several years and tried to buy Mattel last year. Mattel has a stronger catalogue of girls’ toys, such as Barbie dolls, while Hasbro is stronger with boys’ toys, such as Transformers. Shares in Mattel soared by 23 per cent to $18 in after-hours trading in New York after The Wall Street Journal reported the talks. Hasbro shares were up by 1.9 per cent to $93.20. Some analysts have suggested that any deal would be closely scrutinised by competition officials. Mattel, which also makes Fisher Price and Hot Wheels toys, has struggled with a sustained fall in sales. In its third-quarter report last month, which was weaker than expected, it said that it would suspend its dividend, reduce product launches and accelerate cost cutting. Mattel named its third chief executive in three years earlier this year. In April Hasbro, which also makes Nerf toys and the Monopoly board game, reported higher quarterly sales than Mattel for the first time since 2000 as it assumed the rights to make dolls for Disney franchises such as Frozen. The rights had previously belonged to Mattel. A merger would end their bidding wars for franchising rights. Hasbro’s shares have risen 18 per cent since the start of the year as Mattel’s have fallen by 47 per cent. Mattel said earlier this year that it had been hit by the bankruptcy of Toys R Us in the US. Hasbro was valued at $11.5 billion after trading yesterday and Mattel $5 billion.

Explanation / Answer

Sumaary:

This is about the business deal between Hasbro,America's biggest toymakers well known for boys toys and the Mattel, country's Second largest toymaker well known for girls toys.Hasbro wanted to buy mattel and create a business with a combined value of 17 billion and bring brands such as barbie,transformers etc.

Hasbro has been on hunt for Mattel several years but they tried to buy last year due to declining sales and fall in market price of Mattel for consecutive years.Hasbro's shares were up by 1.9 % while Mattel's share reduced by 23 percent which led mattel to reduce its product launches ,suspend dividend and accelerate cost cutting

Hasbro made a high quaterly sales in 2000 than mattel by acqurirng rights to make dolls for disney franchises which earlier belonged to Mattel.Mattel's down was due to bankruptcy of toys in US.By knowing the down of Mattel ,Hasbro wanted to aquire it and make profitable for them.

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