In need of a bailout, Mattel stock jumps on takeover interest from Authentic Brands

Mattel (NASDAQ: MAT) shares rose 23% on Thursday following a report that the toy maker has attracted takeover interest from brand-licensing company Authentic Brands Group.

The Wall Street Journal reported that Authentic Brands Group has approached Mattel and has been privately discussing an offer that could value the company at more than $20 per share, or around $6 billion or more, according to people familiar with the matter.

Mattel shares have declined more than 33% this year and closed at $12.66 on Wednesday, giving the company a market value of approximately $3.6 billion. The potential offer price represents a premium of more than 58% to Wednesday’s closing price.

On Wednesday, Mattel announced that Condé Nast Chief Executive Roger Lynch will become the company’s next CEO. Lynch, who was already on the board, will become chairman on Friday and assume the CEO role within the next month. He will succeed Ynon Kreiz, who is leaving to become co-CEO of Paramount.