All Signs Point to a Toys R Us Comeback
Back in March, before a single store had been fully liquidated, we ran an article on Dealerscope that hinted a Toys R Us “comeback” was all but a foregone conclusion. At a time when brands like hhgregg and Circuit City are both attempting to make their own comebacks of sorts, we felt it was safe to assume that the Toys R Us brand, in some way, shape, or form, would rise from the ashes once the bankruptcy proceedings and liquidation process were complete.
However, I don’t think anyone could’ve predicted how quickly the plan would be set in motion to bring the toy retailer back from nonexistence.
According to a Wall Street Journal report, a group of hedge funds that are in line to take control of the company—the same group that helped pull the plug on the proposed reorganization earlier this year—intend to revive the business under the same Toys R Us and Babies R Us brand names. The newly proposed reorganization plan, which was detailed in court filings on Monday, suggest the formation of a new holding company for the two brands that “maintains existing global license agreements and can invest in and create new, domestic, retail operating businesses” under the brand name.