STORY: Shares of Mattel jumped 12% on Wednesday after the toymaker said it was exploring a sale and has held talks with buyout firms.
That's according to a source familiar with the matter, who told Reuters on Tuesday that Apollo Global Management and L Catterton were among the interested parties.
The talks on a possible sale come a few months after the California-based company's CEO said Mattel had completed its turnaround plan and was in "growth mode."
In January, Mattel won the rights to produce dolls based on Disney royalty including Frozen's Elsa and Aladdin's Jasmine, snatching back a highly lucrative license from archrival Hasbro.
In February, Mattel forecasted full-year profit above analysts' estimates, citing strong demand for Barbie dolls and other toys that would help the toymaker weather rampant supply chain disruptions.
L Catterton declined to comment. Mattel and Apollo Global Management did not immediately respond to requests for comment.