Toys R’ Us to rise from the dead

Toys R’ Us is rumoured to be revived after an auction for its brand and rights was cancelled with a group of investors which originally ended the toy retailer’s reorganisation in April.

According to documents obtained by the Wall Street Journal, the group has plans for “a new, operating Toys R’ Us and Babies R’ Us branding company that maintains existing global license agreements”, and added it planned to “invest in and create new, domestic, retail operating businesses”.

The group would have benefitted from selling Toys R’ Us assets in an auction which included everything that had not already been liquidated such as the Geoffrey the Giraffe logo and both Toys R’ Us and Babies R’ Us brand names.

Those with controlling interests in the toy retailer include Solus Alternative Asset Management according to the documents, who supposedly found that after receiving bids for the brand, a revival would be better suited to their interests.

A Toys R’ Us spokesperson told Retail Sector, “Toys R’ Us are closed and have no staff” before saying they had no comment on a possible brand revival.

Toys R Us filed for bankruptcy last September with a £15m VAT bill which can’t be paid unless the retailer sells.