Mattel has embarked on its plans to expand in the Asian market following its majority stake acquisition of the Korean toy firm, Sonokong.
The US toy giant’s Mattel Marketing Holdings acquired 2,627,539 shares of Sonokong Chairman Choi Sin-gyu for 13.97 billion won.
The South Korean firm has also signed a two-year agreement for exclusive rights for sale, marketing and distribution of Mattel products.
According to The Investor, Sonokong has dominated the country’s toy industry with hits including Turning Mecard and Carbot.
Mattel has chosen Sonokong as a strategic partner to further expand in the Asian market. However, the management will stay unchanged, including Chairman Choi who is its second largest stakeholder.