Hasbro makes play for rival

US toy maker Hasbro has made a takeover approach for rival Mattel, The Wall Street Journal reported on Friday, citing people familiar with the matter. The approach was made recently, the WSJ said, citing one person. The terms of a potential deal could not be learned, the newspaper added, cautioning there could be no deal. The companies, with a combined market value of approximately $16 billion as of Friday’s close, said they do not comment on rumors or speculation.

Shares of Mattel, the maker of Barbie and Hot Wheels, jumped about 24 percent in after-hours trading. Hasbro, which makes Disney Princess Dolls and Nerf guns, rose about 3.3 percent.

Mattel’s shares have slumped 47 percent this year, valuing the company at about $4.8 billion. Hasbro has a value of about $11 billion after a nearly 18 percent increase in its stock price in 2017.

The report comes close on the heels of the bankruptcy of Toys’R’Us — a major outlet for toy sales — that piled more pressure on an industry already struggling with online competition and lackluster demand for traditional toys.

Two weeks back, Mattel suspended its dividend, and Chief Executive Margo Georgiadis, who took the job in January, warned the company would miss its fullyear revenue forecast.

Mattel’s stock fell to its lowest since 2009 that day.