Irish toys group Smyths Toys has signed a deal to take over Toys 'R' Us in Germany, Austria and Switzerland, the German arm of the insolvent retailer said on Saturday.
Once the largest U.S. toy retailer, Toys 'R' Us abandoned a plan to emerge from bankruptcy last month and said it would try to maintain more profitable locations in Europe and Asia as an on-going business while liquidating its U.S. and UK operations.
Family-owned Smyths will acquire 93 shops and four online stores via the planned deal, Toys 'R' Us said in a statement on its German website. Financial details were not disclosed.
The Irish company, which runs 110 stores plus websites in Britain and Ireland, plans to take on all the Toys 'R' Us units, staff and management in Germany, Austria and Switzerland.
"We are convinced that multi-channel toy retailing will develop positively and that we can successfully introduce and expand our brand in Europe," co-founder Tony Smyth said.
The deal is subject to the approval of the U.S. court and relevant authorities, the statement said. (Reuters)
Source: www.businessworld.ie
