Retailer has confidence in toy story
Toys ‘R’ Us Asia is planning to expand its business in the region next year after a shareholding reshuffle.
It plans to add dozens of stores in China and Japan after Fung Retailing became a major shareholder.
The company’s Asian business revealed its new ownership structure as the holders of its parent company, collectively known as the Taj noteholders which represent a mixture of several investment funds and financial institutions, announced it had acquired an 85 percent stake in Toys ‘R’ Us Asia.
Fung Retailing, a privately owned Hong Kong business, increased its equity holdings in Toys ‘R’ Us Asia to 21 percent by buying 6 percent from the Taj noteholders to become its biggest stockholder.
The transaction marks that the company’s Asian business is now completely separate from its US parent company Toys ‘R’ Us Inc which filed for bankruptcy protection in September last year.
In expanding its footprint in the region, the company will focus on smaller shop floors. Also, it will boost investments in its IT systems and e-commerce platforms while still holding the belief that shopping in stores will never be replaced completely by online, according to Andre Javes, president of Toys ‘R’ Us Asia Pacific.