Toys ‘R’ Us eyes OK to take actions tied to €5 million business sale

By Caroline Salls

Pittsburgh, Nov. 19 – Toys “R” Us, Inc. requested court approval to take any steps necessary to complete the sale of f non-debtor TRU Netherlands Holdings BV’s equity interest in Toys “R” Us Poland to Green Swan SGPS SA, according to a motion filed Friday with the U.S. Bankruptcy Court for the Eastern District of Virginia.

The company said the necessary actions include Toys “R” Us and the TRU Taj debtors providing instructions and consents required to implement the sale terms, the TRU Taj debtors assigning intercompany loans to the buyer, Toys “R” Us – Delaware, Inc. entering into a transition services agreement with the buyer and the Toys debtors entering into an amendment to an in intellectual property license agreement with the buyer.

Toys “R” Us said the sale terms are still being negotiated and remain subject to final documentation.

If completed, the company said the sale will provide a baseline purchase price of €5 million, of which €4,999,999 will be used to pay the TRU Taj debtors on account of intercompany loans due to TRU Taj LLC and related entities from the Poland business.

The remainder will be paid to the seller as consideration for 100% of its equity interest in the Poland business.

Toys “R” Us is a Wayne, N.J., toy retailer. The company filed for bankruptcy on Sept. 19, 2017 under Chapter 11 case number 17-34665.

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