The CEO of MGA Entertainment - which produces children's toys and sells about a fifth of them in Toys R Us - said in a statement that he entered a "formal bid" to buy the Canadian and USA locations for a combined price of $890 million.
Most people, evidently, but the poor response to Isaac Larian's crowdfunding campaign - it was supposed to bring in $1 billion and only raised $59,000 so far - is not slowing him down.
Now it's up to the court that is overseeing the auction of Toys "R" Us' assets to approve the bid and move forward, and Larian knows time is of the essence.More news: Next week, Spotify will reveal future plans of its mobile app
Reuters reported that Toys "R" Us received a number of bids in excess of $1 billion for an 85 percent share of the Asian operations of the dominant toy retailer in the booming market.
According to a statement released by MGA Entertainment, which is the toymaker of Little Tikes, Bratz dolls, and Lalaloopsy dolls, the funds to buy Toys "R" Us stores will come from a combination of Larian's own wealth, investments from additional investors and through bank financing. I did my part and now it's up to the other side to accept this offer. "The industry will truly suffer". "Imagine a mini-Disneyland in each neighborhood".
In the past, Larian has blamed the demise of Toys "R" Us on its private equity owners, which saddled the company with debt.
MGA is believed to have sold about 20 percent of its product line sales through the North American Toys "R" Us divisions, so it would seem that that keeping the channel alive could be very valuable to MGA. MGA Entertainment's own Little Tikes brand, the maker of the famous Cozy Coup is made right here in the U.S. for the past 50 years. Toys R Us declared bankruptcy in September and then announced the closure of its stores in March. "I want to save over 130,000 jobs", Larian wrote on Twitter last week, tagging US President Donald Trump in the post.