Irish Smyths Toys has announced a deal with bankrupt toys giant Toys ‘R’ Us to take over all of its 93 stores in Germany, Austria and Switzerland. Financial details about the deal were not disclosed.
No job loss
In a statement made on its German website, Irish toys retailer Smyths has disclosed that it will take over some of the European stores owned by US toys giant Toys ‘R’ Us, which went bankrupt last month. Family-owned Smith currently runs 110 stores in Britain and Ireland, and hopes to expand its business on the mainland by taking over the 93 shops and four online Toys ‘R’ Us shops in Europe’s main German-speaking countries: Germany itself, Austria and Switzerland.
Only last month, Toys ‘R’ Us was forced to announce the shut-down of its main US division of toys stores, a mere few weeks after the British arm was liquidated. A total of 805 stores are closing, which will cost 33,000 Americans and 3,200 Britons their jobs. Better news is in store for the German, Swiss and Austrian employees of former toys giant Toys ‘R’ Us: all units, staff and management would be taken on by new owner Smyths Toys.
No financial details were disclosed about the deal, which is subject to the approval of the U.S. Court and relevant authorities.