Smyths bidding for Toys"R"Us Germany

Discussion in 'Transformers News and Rumors' started by Nevermore, Apr 13, 2018.

  1. Nevermore

    Nevermore It's self-perpetuating a parahumanoidarianised!

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    Uncertain, though there are hints in Smyths' statements that they intend to establish their own brand in the German-speaking countries.
     
  2. saucesmithco

    saucesmithco Well-Known Member

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    I doubt the same thing will happen in the UK. Smyths already have an established presence here and some TRU branches have already closed.
     
  3. PANTSMAN1973

    PANTSMAN1973 Well-Known Member

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    Anyone know the current situation for Canadian branches?
     
  4. Nevermore

    Nevermore It's self-perpetuating a parahumanoidarianised!

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    Update: Smyths intends to introduce its brand in continental Europe, which means the name "Toys"R"Us" will disappear. (German language sources)
    Spielwaren: Aus Toys’R’Us wird Smyths Toys - WELT
    Einstiger US-Gigant: Irischer Spielwarenhändler übernimmt Toys"R"Us - SPIEGEL ONLINE - Wirtschaft

    Update 2: Apparently Smyths paid almost 80 million Euros (nearly 100 million USD) for TRU.
    Smyths to pay almost €80m for European assets of Toys R Us
    Smyths to buy Toys “R” Us stores in Central Europe
     
    Last edited: Apr 23, 2018
  5. Nevermore

    Nevermore It's self-perpetuating a parahumanoidarianised!

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    Smyths to buy Toys “R” Us stores in Central Europe

     
  6. G.B. Blackrock

    G.B. Blackrock Autobot Ally

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    It should perhaps be noted that Smyth's can convert those European TRUs (as looks now to be case) AND purchase the rights to the TRU branding in those countries. These two items are not mutually exclusive.
     
  7. Aernaroth

    Aernaroth <b><font color=blue>I voted for Super_Megatron and Veteran

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    In addition, it sounds like Fairfax is the only bidder, so some have dropped out?

    Toys 'R' US ends Canadian stores auction with Fairfax as the only bidder

    Who are they? An acquisitions and holdings company who've been in property and insurance mainly. Say what you will about the Canadian insurance industry (I'm sure I could find a few choice words), but the firm, and its CEO (Prem Watsa) have made a lot of money and made what I would consider sound business choices (they also owned/own? a significant chunk of Blackberry and their debt, so they likely have some restructuring experience, as well as in Overstock.com). I hope the company hasnt gone from one capital firm lionpit to another, but this could also be a stable, smart owner for rebuilding.
     
  8. AzT

    AzT Azlaroc, Yeargroup 431 Moderator News Staff TFW2005 Supporter

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    Sale motions rolling on, Dockets 2957-2960 Prime Clerk

    From 2957, page 4:
    Page 10:
     
  9. Nevermore

    Nevermore It's self-perpetuating a parahumanoidarianised!

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  10. Nevermore

    Nevermore It's self-perpetuating a parahumanoidarianised!

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    A minor German language update from Switzerland:
    Smyths Toys: New Kid in Town - Handelszeitung

    The cliff notes: The new owners have several advantages, but also one disdvantage:
    - Smthys itself is a profitable company. Within thirty years, Irish brothers Tony, Pádraig, Liam und Tom Smyth have turned what once started out as a small kiosk in Claremorris, West Ireland, into a multinational corporation that is market leader in both Ireland and the UK.
    - They're taking over a fully established infrastructure. Toys"R"Us expanded to Germany around the same time Smthys started in Ireland. The product range doesn't differ much between countries. Smyths doesn't need to reinvent itself for the German language markets, since trade relationships with companies like Mattel and Hasbro are already established.
    - According to documents that became public as part of the Toys"R"Us bankruptcy case, Toys"R"Us Central Europe has been very profitable for the past few years, which means Smyths is taking over a company that is performing well rather than a candidate for restructuring.
    - The main problem is that the brand "Smyths" is completely unknown outside the British Isles. As a consequence, the new owners intend to carry through this year's Christmas season under the old "Toys"R"Us" branding. Following that, the stores will be rebranded as "Smyths". When the Smthys brothers expanded to the United Kingdom, the brand was completely unknown there as well, most people didn't even knew how to pronunce "Smyths". Eight years later, Smyths was market leader in the UK. Still, since toys are available at many non-specialized stores these days, it will take a lot of effort (and investments) to convince customers to shop at a completely unknown store with an odd name.

    Some more factoids: Investment firm Lazard contacted over 90 potential buyers for a takover of operations in central Europe. In the end, the Smyths brothers were the only bidders. The takeover was code-named "Project Elf".
     
  11. iuJacob

    iuJacob Well-Known Member

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    How soon is now?
     
  12. Nevermore

    Nevermore It's self-perpetuating a parahumanoidarianised!

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    You shut your mouth! How can you say I go about things the wrong way?
     
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