WORLD NEWS

Court approves Toys R Us settlement with creditors and lenders

Published on: 13th August 2018

A compromise agreement between Toys R Us, its lenders and creditors will see creditors receive 22 cents in the dollar.

The settlement will shield the lenders from future litigation, while boosting the recoveries of administrative claims holders, which includes vendors and other creditors owed about $800m. Judge Keith Phillips of the US Bankruptcy Court in Richmond Virginia signed off on the settlement last week.

Under the deal, Toys R Us vendors and other creditors will receive a cash payment of roughly 22 cents on the dollar, with potential for higher recoveries. In return, those vendors and creditors will forgo their right to sue the group of lenders who decided to pull the plug on the retailer’s reorganization and send it into liquidation.

RECENT ARTICLES

Things can only get better… it’s the Friday Blog!

30 new WHSmith Toys R Us concessions slated by end of August

Yu-Gi-Oh! Legacy of Destruction core booster set launches

Aston and Sarah Merrygold share their love of Simba Smoby

Autumn Fair announces New Business Pavilion

Neil Shinner announces retirement from Moose

Hasbro releases first quarter results

University Games hosts sales conference to introduce The Learning Journey

Heathside signs licence renewal for Sonic

Tenth Kids India to take place in Mumbai