In anticipation of the buying power of fans of Disney’s Princess franchise, Mattel shares jumped today after the toy manufacturer said it won the license to make toys based on Disney’s princess lineup, including the very popular “Frozen” franchise.
This announcement marks a significant triumph for Mattel after it lost the license to rival Hasbro in 2016.
Hasbro countered this announcement by stating that it has extended its relationship with Lucasfilm by renewing its long-standing licensing deal for the “Star Wars” franchise. It also struck a new agreement to develop products based on the “Indiana Jones” franchise, which it hasn’t done since 2008.
Mattel’s stock rose more than 6% in premarket trading, While Hasbro was down more than 1%.
Mattel stated that it will start selling the new Disney toys in 2023, and the business will be managed by the same group that oversees its Barbie franchise. Financial terms of the deal weren’t disclosed.
Mattel stated that the new licensing deal builds on its existing licensing relationship with Disney for Pixar Animation Studios’ “Toy Story” and “Cars” franchises, as well as the recently announced global licensing agreement for “Lightyear.”
In the announcement Mattel President and Chief Operating Officer Richard Dickson said –
As the worldwide leader in dolls, we look forward to bringing our unique Mattel Playbook approach to brand management, product and marketing expertise.
Hasbro, meantime, said the “Indiana Jones” items will be on sale in the U.S. in 2023, aligning with the release of the franchise’s feature film.