Geoffrey The Giraffe might survive this time!
It’s not over til the fat lady sings…..
The hedge funds in line that take control of Toys “R” Us—is the same exact business behind the Toys “R” Us and Babies “R” Us brand name. The retailer said in court papers filed Monday that while it received qualified bids for assets—which include the brand names of Toys “R” Us, Babies “R” Us, registry lists, website domains, Geoffrey the Giraffe and other assets—it has opted to forgo a much-anticipated bankruptcy auction for its brand name and other intellectual property assets.
Toys “R” Us’s proposed reorganization plan contemplates “a new, operating Toys ‘R’ Us and Babies ‘R’ Us branding company that maintains existing global license agreements and can invest in and creates new, domestic, retail operating businesses” under the brand name, court papers said.
The company permanently closed down 800 Toys R Us and Babys R Us stores, letting go 33,000 employees. Since then employees have been fighting for severance pay for months. The absence of Toys “R” Us has also left an $11 billion hole in the toy industry, and hundreds of toy vendors without a major bricks-and-mortar platform to sell their goods.
Toys R Us needed major reformation that is for sure. It is sad that it had to come to this. Companies at times go through rough patches, it is just the wake-up call they need to make changes.