The toy business is certainly going through eventful times. With lots happening behind the scenes at the moment.
At the end of last week it was reported in the Wall Street Journal that Hasbro has approached Mattel with a view to taking Mattel over. Hasbro is well known for My Little Pony, Monopoly and Nerf and GI Joe whilst Mattel is famous for Barbie, and Hot Wheels. Both are also involved in the sale of TV and Film tie-in products.
Hasbro’s market value is twice that of Mattel since Mattel’s shares slumped by 47 percent over the last year. Both firms have been affected by the trends away from traditional toys and games but Hasbro has coped with factors like the Toys R Us going into bankruptcy better than Mattel.
On the face of it a takeover by Hasbro is unlikely to have a direct effect on the sales of model vehicles as Hasbro do not have any competitor division. However, in the combined company Hot Wheels will just be one division amongst many competing for investment capital. Hot Wheels form such a large part of the American Model collecting scene any slow down in the flow of new models would quickly be noticed.
The modelling press broke the news last week that Base Toys had ceased trading. Base Toys competed strongly with Oxford Diecast in the 1:76 scale and 1:144 scale market place. Focusing mainly on coaches, trucks and lorries in recent years. They were aimed primarily at railway modellers and offered a budget priced product using a lot of plastic in their construction.
John Ayrey Ltd, a wholesaler of their products, confirmed that Base Toys had ceased trading but that as the brand and factory bookings still existed it was possible that the models will go back into production as there is a market for them.
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