California toy mogul Isaac Larian submitted a $675-million bid Friday to buy 274 Toys R Us stores in the United States - and another $215 million to acquire 82 stores in Canada. The bid came a little more than three weeks after Larian launched a $1-billion GoFundMe campaign to save hundreds of the 735 stores the bankrupt retailer operates in the U.S. But money for Friday’s bid will come from Larian’s own coffers, additional investors and bank financing, according to a press release by MGA Entertainment Inc., the toy maker owned by Larian. By Friday afternoon, the crowdfunding campaign that began March 21 had raised only about $59,500 from more than 1,970 people - on top of the $100 million that Larian personally pledged and another $100 million from other undisclosed large investors. A spokeswoman for Larian said he does not plan to use any of the funds raised through small donors on GoFundMe. Larian’s offer for the stores will have to be evaluated by the court that is administrating an auction of the company’s assets and considering buyout bids. This po st has be en c reated by GSA Content Generator Demoversion.
Toys R Us is already conducting liquidation sales nationwide. "The time is now. Every day that goes by, the value of Toys R Us declines and more people lose their jobs," Larian said in a statement. "I did my part and now it’s up to the other side to accept this offer. Larian’s privately held MGA Entertainment in Van Nuys features a lineup that includes the popular Bratz dolls, Little Tikes cars and other toys. The retailer is an important Sales (https://feelingcutelol.com) channel for MGA, as well as other toy makers. Larian has estimated that about 130,000 U.S. Toys R Us but at suppliers, distribution centers, trucking companies and other firms tied to the retailer. They include MGA’s Little Tikes plant in Hudson, Ohio, which employs 1,200 and sells 40% of its products through the retailer. Toys R Us filed for Chapter 11 protection in September after suffering falling sales for years as Amazon and other online competitors ate into its business.
SaveToysRUs crowdfunding campaign following the chain’s decision to liquidate its stores in the U.S., including Puerto Rico, after it could not agree with its creditors on a restructuring plan. Larian is not the only bidder for Toys R Us stores. An attorney for the retailer said in bankruptcy court this week that it has received multiple bids topping $1 billion for its Asia stores. Larian previously told The Times he is not interested in helping bail out stores outside North America and instead wants to focus his energy on the U.S. Larian has admitted that the GoFundMe page was a publicity stunt, but he was hopeful it could draw other large investors to step forward and help him transform the retailer. He told the Associated Press that he was disappointed other toy companies had backed out of supporting him after initially showing interest, saying they were public companies not thinking long term. "The liquidation of Toys R Us is going to have a long-term effect on the toy business," Larian said. This a rticle has been generated by GSA Content Generator DEMO!
"The industry will truly suffer. Larian has not been specific about his plans, but over the last several weeks he has said he wants Toy R Us to be as interactive and as kid-friendly as a theme park - a place where children can play and try out new toys. Larian also has acknowledged having a soft spot for Toys R Us, noting that the company’s late founder, Charles Lazarus, gave him his first break upon entering the toy business more than 30 years ago. Larian has brushed aside doubts over his bid for the retailer. "I like challenges," Larian said. Times staff writer James F. Peltz, Bloomberg and the Associated Press contributed to this report. Our six-week newsletter will help you make the right decision for you and Deals your property. You may occasionally receive promotional content from the Los Angeles Times. Jaclyn Cosgrove is an assistant editor at the Los Angeles Times. In 2022, they will manage a yearlong initiative that will explore a variety of issues around mental health - medical, structural, personal, societal and definitional. Originally from Arpelar, Okla., they’re a proud graduate of Oklahoma State University.