The company, at the time of it bankruptcy filing, had about 1,700 stores globally, with about 800 in the US under the Toys ‘R’ Us and Babies ‘R’ Us brands. It also had $5.2 billion in long-term debt and negative equity of $1.3 billion. In other words, what was left at the time was just a hollowed-out shell.
Today it was leaked that the company is preparing for liquidation in the US as it couldn’t find a buyer and couldn’t get the creditors to agree to take massive haircuts in a restructuring deal. It plans to close and liquidate all its operations in the US, “people familiar with the matter” told Bloomberg: