Read in press that M-Go just turned down a $20 per share offer from hasbro. Please help me understand the logic. I’m not trying to be critical but just don’t get it at this point. Mattel was aming 10 worst performing stocks of last year and is in downward trajectory. Bankruptcy of TRU won’t help. Offer was well above current stock price. Once earnings come out February 1st stock will plummet again. I just dont get it. Seems like delaying the inevitable, and with waiting, the value of company will be even less. Am I missing something?
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This is all about ignorance and arrogance. Ignorance comes from M-Go, where the job at hand is beyond her capabilities and experience. Arrogance comes from the Institutional Investors and BOD, who continue to live in a fantasy land where Barbie comes back from the dead.
The company will do much better when all these parties finally acknowledge how bad things are and how desperate they are. They'd best strike while there is an interested party, before they wake up one morning and Barbie is no more.
Excluding General Electric, Mattel is the largest disaster in industry. Let Hasbro take over. They are not exactly the "a" team, but still better than the incompetent leadership at Mattel to give it hope. It is too sad that Margo is letting her personal financial position block shareholders from getting some return for this broken company. She has no record of turning companies around and is completely new to this type of business. There is not a chance with her.
Am I missing something?
Clearly the CEO and BoD feel that the current stock price represents something of a floor. Mattel was unfairly punished by investors last year, and the turn around that the previous old geezer CEO started a couple years ago will finally start taking hold in 18 driving the stock back up to reflect the true value of the company.
Harvard education and all, MGo has proven painfullly slow at making decisions at Mattel, smart but not the leader to fix this broken bus or change the trajectory. Career damage control by executive management was a good description of what is happening.
Not only the Institutional Shareholders, but I'm sure M-Go needs the stock above $20 for her options to kick millions of dollars to her. Why would she accept $20 if it doesn't feather her bed, personally?
It's not Margo. Institutional Shareholders won't vote that in since most invested above $20 so don't want to lose millions. They are probably hoping for a turnaround so they can cut their losses and run.