- Isaac Larian, the CEO of the toy company MGA Entertainment, bid $890 million for more than 300 Toys R Us stores in the US and Canada.
- A source familiar with the matter told The Wall Street Journal that the bid had been rejected.
- Larian said in a statement that he had not yet been notified of the rejection.
Toys R Us fans just got some more disappointing news.
On Friday, it seemed that billionaire businessman Isaac Larian might be coming to the company’s rescue after he put forward a bid of $890 million of his own money to save more than 300 Toys R Us stores in the US and Canada.
The bid has been rejected, The Wall Street Journal reported, citing a source familiar with the matter.
According to the Wall Street Journal’s source, Larian’s offer did not “meet the qualified bid threshold under the court-approved auction procedures.”
“I haven’t yet been notified of the bid rejection but if this is true, it is very disappointing,” Larian said in a statement to the press. “It is our hope and expectation that we can continue to participate in the bid process, so we can keep fighting to save Toys ‘R Us. We feel confident that we submitted a fair valuation of the company’s US assets in an effort to save the business and over 130,000 domestic jobs.”
Larian also set up a GoFundMe page to try to save Toys R Us at the end of March. He pledged $200 million towards rescuing the company and asked fans to make donations. So far, $62,000 more has been raised.
Larian is CEO of California-based MGA Entertainment, which makes the Bratz doll. Nearly one in five of the sales made by the company is done at a Toys R Us store, according to the Associated Press; therefore, his interest in saving the company is not entirely selfless.
Toys R Us recently began liquidating its more than 700 stores in the US after efforts to restructure the business through Chapter 11 bankruptcy failed.