Toys“R”Us Japan filed with the Tokyo District Court for application of the Civil Rehabilitation Act and received a preservation order and supervision order. With approximately 1,100 creditors and total liabilities of approximately ¥13.2 billion, the bankruptcy is among the largest ever for a mass-market toy retailer.
Toys“R”Us Japan, Ltd. filed with the Tokyo District Court on 1 October for application of the Civil Rehabilitation Act and received a preservation order and supervision order the same day. An attorney representing the applicant and a supervisor have been appointed.
Liabilities total approximately ¥13.2 billion, with approximately 1,100 creditors, making this the largest-ever bankruptcy for a mass-market toy retailer.
The company has entered into a business transfer agreement with Pan Pacific International Holdings and plans to transfer the business to the sponsor group subject to court approval.
It is receiving DIP financing from MUFG Bank and plans to continue normal operations after commencement of civil rehabilitation proceedings.