Leading toy retailer Toys"R"Us has announced plans to withdraw from the Japanese market, and the company operating the discount chain Don Quijote is expected to acquire the operations of approximately 150 stores in Japan.
It was reported on the 29th that Toys"R"Us plans to withdraw from operating stores in Japan. There are currently approximately 150 stores in Japan, and Pan Pacific International Holdings, which operates the Don Quijote chain, is expected to acquire the business. As a result, the Toys"R"Us brand is expected to cease operating in the Japanese market.
Toys"R"Us Japan opened its first store in 1991, while the U.S. parent filed for bankruptcy in 2017. The number of employees in Japan is said to be approximately 6,000, including part-time workers, and the local subsidiary Toys"R"Us Japan continued to operate the business.
According to the Official Gazette, Toys"R"Us Japan is said to have continued to report net losses in recent years. The decline in the birth rate and the expansion of online shopping are believed to have been contributing factors. The proposed acquirer is Pan Pacific International Holdings, the operator of Don Quijote.
Reports have emerged that Toys"R"Us will withdraw from its Japanese operations and that Don Quijote will acquire the business. Further updates are awaited on the formal procedures and specific acquisition terms.