As the fallout of the Toys R Us bankruptcy continues, bids have been received for the Asian arm of the business.
During the bankruptcy arrangement that Toys R Us entered, the US company began attempts to sell international parts of the company. This approach proved unsuccessful in the UK, but multiple builds in excess of $1 billion have been received for the Asian part of the business. It has also been confirmed that a potential buyer has emerged for the Central European part of the company.
According to reports from Reuters, stock sell-off and real estate deals are bringing in more money than expected, which will provide more cash that can be repaid to creditors. There is concern that small business relying on Toys R Us paying outstanding bills could also face bankruptcy, with companies such as the LEGO Group having also expressed concern at plans to sell off stock.
Toys R Us has had a difficult, debt saddled decade since being bought out by a private equity firm in 2005. In recent months, moves to rescue the company have failed, including the attempted sale of the European subsidiary businesses. Poor Christmas trading is being blamed for delivering the final blow that killed off any chance of the retailer surviving.
Liquidation sales continue at all of the Toys R Us stores in the USA, with closures expected to begin in the coming weeks.