May 09, 2002

Mega Bloks Inc. Announces Closing of Its Initial Public Offering

MONTREAL, May 9, 2002 — Mega Bloks Inc. (“Mega Bloks”), announced today that it has closed its previously announced initial public offering and that its common shares have begun trading on the Toronto Stock Exchange under the symbol MB. Merrill Lynch Canada Inc. acted as lead underwriter in a syndicate that included CIBC World Markets Inc., National Bank Financial Inc. and BMO Nesbitt Burns Inc.

At closing, Mega Bloks issued 7,250,000 common shares, at a price of $14.50 per share, resulting in gross proceeds of $105,125,000. Mega Bloks intends to use the net proceeds of the offering to repay outstanding indebtedness under its Existing Credit Facility. Concurrently with the closing of the initial public offering, Mega Bloks put in place a US$75 million credit facility under which US$40 million will be drawn at the closing of the transaction.

In addition, the underwriters have exercised the over-allotment option granted in connection with the offering to purchase an additional 1,087,500 Common Shares at a price of $14.50 per share from J.P. Morgan Partners (BHCA), L.P. today.

“The successful conclusion of our IPO is a clear indication that the market has recognized the value of Mega Bloks,” stated Marc Bertrand, the Company’s President and CEO. “This is a major stepping-stone for us and as a public company, Mega Bloks is well positioned to continue to take advantage of growth opportunities and strengthen its brand. We are proud to be Canada’s largest toy company and one of the top ten toy brands in North America,” he added. “I would also like to express our deep appreciation to my father, Victor J. Bertrand, the Company’s founder and nonexecutive Chairman, and to our principal shareholder, The Blackstone Group. Blackstone's financial expertise and strategic advice have benefited the Company. They have strongly supported the Company since 1996.”

“Blackstone is very pleased with the outstanding performance of Mega Bloks’ management team and our association with the Bertrand family. Blackstone is happy to have played a role in Mega Bloks’ transition from a private family company to a larger independent public company with an internationally recognized brand,” said Stephen A. Schwarzman, President and CEO.

The securities being offered have not been, nor will be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to US persons without registration or applicable exemption from the registration requirement of such Act. This release does not constitute an offer for sale of securities in the United States of America.

About Mega Bloks Inc.

Mega Bloks Inc. creates fun, educational and high quality construction toys that inspire kids and parents to play and learn together. The MEGA BLOKS® system features basic and themed construction toys for boys and girls of all ages. Headquartered in Montreal, Mega Bloks Inc. is a global organization employing approximately 1000 people with sales in over 100 countries.

(MEGA BLOKS and the MEGA BLOKS logo are trademarks of Mega Bloks Inc.)