Mattel Shares Skyrocket After Announcing Licensing Agreement with Walt Disney
Jan 26, 2022 By MarketDepth
Mattel Inc. (NASDAQ: MAT), shares skyrocketed Wednesday after announcing a multi-year global licensing agreement to produce Walt Disney’s toy lineup from the “Frozen” franchise. The deal is a win for the company after losing the license to competitor Hasbro in 2016, which caused financial instability and active turnover.
Toys Coming in 2023
Under the licensing agreement, the multinational toy manufacturer will be able to develop toys for Disney Consumer Products, Games and Publishing, such as fashion dolls, small dolls and figures. Mattel will begin selling the new Disney toys in 2023, and the division will be managed by the same group that handles its Barbie franchise. However, financial details regarding the deal have yet to be disclosed.
“We are incredibly proud to welcome back the Disney Princess and Frozen lines to Mattel. As the worldwide leader in dolls, we look forward to bringing our unique Mattel Playbook approach to brand management, product and marketing expertise, and unrelenting attention to detail and quality to create innovative and inspiring lines for these iconic stories and characters.”Richard Dickson, President and Chief Operating Officer, Mattel
Furthermore, the agreement comes amid the existing licensing relationship between the two companies for Pixar animation Studio’s Toy Story as well as Cars franchises, and the recently announced licensing agreement of Lightyear.
“The courage and compassion found throughout our Disney Princess and Frozen stories and characters continue to inspire fans around the globe. By furthering our longstanding relationship with Mattel, we look forward to expanding the worlds of Disney Princess and Frozen, introducing an innovative new era of these beloved franchises through captivating products and play opportunities.”Stephanie Young, President of Disney Consumer Products, Games and Publishing