Toys R Us US faces liquidation
The trouble toy retailer faces more strife in its domestic US market with reports of a struggle to reach acquisition or debt restructure agreement
Following the recent insolvency of its UK arm, Toys R Us' bankrupt US division is now facing liquidation.
The US toy retail giant is struggling to find a buyer or reach an agreement with its creditors to restructure debts, according to people familiar with the situation.
The company began 2018 with 800 stores across its Toys R Us and Babies R Us brands, but marked 180 locations for closure in January. Although nothing is confirmed and the situation is bring branded as "fluid", without a buyer or a deal with lenders it is unlikely that any parts of the the business will continue to operate and more Toys R US stores in the USA may soon ready for closure.
The demise of Toys R Us in the US, which accounts for around 15 per cent of US toy revenue, would be a big blow to the industry and has already negatively impacted the stock prices of some of the world's biggest toy suppliers.