lol username Posted February 28, 2014 Share Posted February 28, 2014 Hey, remember when LEGO passed Mattel and became the world's most valuable toy manufacturer? Looks like Mattel's a bit worried about that, as they bought Mega Brands - the producers of Mega Bloks, LEGO's main rival. Oh, and LEGO just released their 2013 annual results, and guess what? They're still doing really well. Edit - Another article with more info, thanks Vector: http://www.bloomberg.com/news/2014-02-28/mattel-bids-460-million-to-buy-blockmaker-mega-brands.html Mattel considered starting its own construction line, then opted instead to buy Mega Brands because it would be faster and less risky, Mattel CEO Bryan G. Stockton said on a call with reporters. Mattel got its first taste of construction in 2012 when it debuted blocks for its Barbie brand through a licensing deal with Mega Brands. Mattel realized that replicating this kind of expertise would take years, Stockton said. Mattel is coming off a lackluster holiday season, with sales sinking 6.3 percent -- the biggest quarterly drop since 2009. The El Segundo, California-based toymaker has looked to acquisitions to boost sales in the past. In February of 2012, it paid $680 million to buy HIT Entertainment Ltd., owner of Thomas the Tank Engine. It also acquired Fisher-Price Inc. for $1.1 billion in 1993, Tyco Toys Inc. for $755 million in 1996 and American Girl LLC for $700 million in 1998. Hasbro Inc. (HAS) -- the world’s third-largest toymaker, after Mattel and Lego -- has shied away from making large acquisitions to enter categories. It started its own building brand, KRE-O, in 2011. Megabrands’ Mega Bloks is more established, though that company’s sales are still about a 10th the level of Lego’s. Another edit - Brickset linked to an article with a video on the deal: http://www.reuters.com/article/2014/02/28/us-megabrands-offer-mattel-idUSBREA1R0QB20140228 Sources: Forbes Quisoves Potoo and eagleeyedan 2 Link to comment Share on other sites More sharing options...
aidenpons Posted February 28, 2014 Share Posted February 28, 2014 The construction of a LEGO factory in Jiaxing, China has just begun. Yes, I know it was for marketing bricks to the Asians, but.... Anyways, it's nice to see Lego doing well and Mattel doing not so well. Brigs 1 Link to comment Share on other sites More sharing options...
Tauka Usanake Posted March 3, 2014 Share Posted March 3, 2014 So now it's LEGO vs Mattel vs Hasbro. This might be interesting if it goes anywhere but I can't see that happening. Mattel does seem pretty well off with sets that Mega has already. Follow suit and they should be fine Link to comment Share on other sites More sharing options...
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