Just as the last generation to play with real toys was about to get over losing the best toy store to ever exist, we get hope of a revitalization! Top lenders of #ToysRUs have decided to cancel the bankruptcy auction of its brand name and other intellectual property assets and will instead, revive the Toys ‘R’ Us and Babies ‘R’ Us brand names, according to a recent court filing.
The lenders plan to open a new Toys ‘R’ Us and Babies ‘R’ Us branding company that maintains the existing global license agreements and can invest and develop new retail shops as well as expand its international presence.
As you all may recall, Toys “R” Us filed for Chapter 11 bankruptcy protection in September of last year, hoping to restructure $5 billion in debt, much of which stemmed from a $6.6 billion leveraged buyout by private equity firms in 2005. In March, the company said it would sell its operations in Canada, Asia and Europe and shut down in the United States. In which, we all had to say goodbye to our beloved, Geoffrey The Giraffe.
According to Reuters, under the intellectual property auction, the company had planned to sell its assets, including the brand names of Toys ‘R’ Us, Babies ‘R’ Us, registry lists, website domains, #Geoffrey the Giraffe and other assets.
It may be slightly difficult to ramp up U.S. operations again due to the fallout from the bankruptcy process. Major suppliers like #Mattel Inc. and #Hasbro Inc. have found new distributors and customers have began to move on.
What do you think of the new direction of Toys R Us? Is it worth it?