Skip to main content

Market Overview

MGA Entertainment On Mattel: 'Simply Too Much Mess To Clean Up'

MGA Entertainment On Mattel: 'Simply Too Much Mess To Clean Up'

Mattel Inc (NASDAQ: MAT) shares are down Wednesday morning following a report MGA Entertainment CEO Isaac Larian has abandoned interest in a merger deal.

"With close to $4 billion in debt at an average interest rate of 6.58%, a staggering 42% in operating expenses, and a major legal liability for having sold a faulty Fisher Price Rock 'n Play Sleeper for years even as multiple baby fatalities occurred, there is simply too much mess to clean up at Mattel," Larian said in a statement to the Los Angeles Times.

Larian said Mattel cannot be salvaged at this point.

Back in April, Mattel recalled the Fisher Price Rock 'n Play Sleeper, which had been tied to infant deaths. According to analysts, the recall could cost Mattel $40 million to $60 million.

Mattel shares traded lower by 2.5% to $11.76 in Wednesday's pre-market session.

Related Links:

Mattel Moving On M&A Reports

Trade War With Mexico Could Hurt Mattel, While China Spat Affects Hasbro


Related Articles (MAT)

View Comments and Join the Discussion!

Posted-In: Isaac Larian MGA EntertainmentM&A News Media Best of Benzinga

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at