MGA Entertainment initiates merger with Zapf Creation AG

The German doll manufacturer Zapf ("Baby Born") and the U.S. toy group MGA have announced their intention to merge. According to Zapf, the merger is to be completed in spring 2024. The German subsidiary of MGA, currently the main shareholder of Zapf Creation AG, had approached Zapf and invited it to negotiations, it said. The companies declined to provide further details.

Working together for decades

MGA Entertainment, headquartered in Los Angeles, is owner-operated and manufactures children's toys and entertainment products. Zapf, founded in Rödental in 1932, is best known for its functional dolls. The two companies have reportedly been working together for 20 years in the sale and distribution of their respective products.

MGA already holds slightly more than 90 percent of Zapf shares. The price of Zapf shares rose about five percent to 33 euros in early trading. The company is thus valued on the stock exchange at just over 200 million euros.

Source: www.finanznachrichten.de