Fairfax offers $300mn for Toys R Us Canada
Toronto-based financial holding company Fairfax Financial has reportedly bid $300mn for the Canadian assets of Toys R Us, resulting in the bankrupt retailer ending the auction of its stores.
The Canadian Press revealed that the entertainment retailer would be cancelling the auction following the discovery of documents filed at a bankruptcy court where Toys R Us is now instead seeking regulatory approval to sell its 82 stores to Fairfax.
If successful, the Fairfax deal will end any uncertainty surrounding the future of the properties and the position of Toys R Us within Canada.
According to The Canadian Press, the court filings showed that no bidders other than Fairfax registered an offer solely for the company’s Canadian assets.
However, billionaire businessman Isaac Larian, the CEO of MGA Entertainment, bid $675mn for the company’s 274 US stores and may yet offer a renewed bid in an attempt to pursue his ambitions of reviving the company.
A hearing to approve the sale to Fairfax will be held next week at a Virginia Court.