Toys'R'Us France will apply for bankruptcy

Ludovic Gautret

published on 22/07/2018 at 07h45

The French subsidiary of the group Toys'R'Us will apply for placement in receivership. The Toys'R'Us France approach aims to ease the transition after the bankruptcy of the American parent company …

(Boursier.com) – After the liquidation in March of 735 stores worldwide, the French subsidiary of the number one toy, Toys'R'Us, will apply to be placed in receivership. The hearing will take place in the middle of next week at the Commercial Court of Evry, Essonne.

Protection of the French subsidiary

The brand has been in crisis for some time now. According to Jean Charretteur, the CEO of Toys'R'Us France interviewed by Le Monde ', such a decision would "continue the activity in a more secure context and finalize ongoing discussions with potential investors and US lenders. The idea is to protect the company. "

What buyers?

Several potential buyers are on the ranks … The name of Pierre Mestre, majority shareholder of the Orchestra group, is advanced. The chain of children's clothing stores is not at best but the tour de table could, according to 'Le Monde', be supplemented by other investors.

1,500 posts targeted in France

Faced with a debt $ 5 billion, inherited from its debt buyout in 2005 by investment funds KKR and Bain Capital and real estate investor Vornado Realty Trust, the group could no longer meet its deadlines. It was put into liquidation on March 17, 2018.

Outside Great Britain, whose 75 stores had quickly closed after this announcement, Toys'R'Us had decided to study all possibilities for its activities in Spain and France. The 53 points of sale in France could therefore be preserved, which would represent the rescue of more than 1,500 jobs.

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