Mattel (MAT -1.2%) is closing in on a deal to acquire Hit Entertainment, the U.K. owner of...

|By:, SA News Editor

Mattel (MAT -1.2%) is closing in on a deal to acquire Hit Entertainment, the U.K. owner of Thomas the Tank Engine, for just over £500M, Sky News reports. A deal could make sense in beefing up its portfolio for preschool kids, but a Caris analyst calls the deal rumor "far fetched," noting that Mattel hasn’t been very acquisitive in the past decade.