•   
  •   
  •   

Offbeat Toys ‘R’ Us Lenders May Swap $760 Million in Debt for Asian Unit

23:00  06 august  2018
23:00  06 august  2018 Source:   bloomberg.com

If Turkey implodes, here's who else will get hurt

  If Turkey implodes, here's who else will get hurt With financial turmoil in Turkey roiling the country’s assets, analysts are busy contemplating which other countries could be exposed and what this could mean for international investors. Turkey has been in economic difficulties since the start of the year. Its currency has lost about 33 percent of its value on the back of large fiscal stimulus, growing inflation and a hefty current account deficit. There's also been intervention from President Recep Tayyip Erdogan on the central bank's policy decisions which continues to surprise investors and accentuate the fall in the currency.

Senior lenders to Toys “ R ” Us Inc. will make an opening bid of $ 760 million for the bankrupt retailer’s Asia operations, far less than the billion offers the company touted just a few months ago. The lenders would make a so-called "credit bid" by using their senior secured notes in the Asia business

Senior lenders to Toys “ R ” Us Inc. will make an opening bid of $ 760 million for the bankrupt retailer’s Asia operations, far less than the billion offers the company touted just a few months ago. Continue reading this story with a subscription to DealStreetAsia.

Signage is displayed on the exterior of a Toys 'R' Us retail store in the Queens borough of New York, U.S.: Geoffrey the Giraffe Was Left for Dead. Now He’s on the Mend in a Children’s Hospital. © Bloomberg Geoffrey the Giraffe Was Left for Dead. Now He’s on the Mend in a Children’s Hospital. (Bloomberg) -- Senior lenders to Toys “R” Us Inc. will make an opening bid of $760 million for the bankrupt retailer’s Asia operations, far less than the $1 billion offers the company touted just a few months ago.

The lenders would make a so-called "credit bid" by using their senior secured notes in the Asia business rather than cash, and win ownership of the unit during an auction next month in New York, according to court documents filed Saturday. Noteholders eligible to participate include York Capital Management Global Advisors LLC, Barclays Bank Plc and Cerberus Capital Management LP, related court papers show.

6-year-old YouTube star brings his own toy line to Walmart

  6-year-old YouTube star brings his own toy line to Walmart A 6-year-old boy whose toy reviews have drawn billions of views on YouTube will debut his own line of slime, stuffed animals and other merchandise at Walmart next month, the retailer said on Monday. The star of the YouTube channel Ryan ToysReview, known simply as Ryan, helped select the toys and apparel that will be sold under the name Ryan's World, according to children's media company pocket.watch, which negotiated the deal with Walmart.The Ryan's World merchandise will be sold exclusively at more than 2,500 Walmart stores in the United States and on the Walmart.com website starting Aug. 6.

Last spring, Toys “ R ” Us , struggling in the face of competition, wanted to refinance about 0 million in debt . A year and a messy bankruptcy later, Toys “ R ” Us is expected to pay as much as 8 million for the dozens of bankers, lawyers and consultants that tried to fix its problems.

Toys “ R ” Us Inc.’s highly touted Asian business will be sold to a group of bondholders The group, which owns 12% bonds issued by the TRU Taj foreign arm of Toys “ R ” Us , will acquire the assets with a $ 760 million credit bid, meaning the lenders would trade their debt for ownership of the business.

Before an auction is scheduled, Toys wants a U.S. federal judge to strip the company’s minority partner in Asia, Fung Retailing Ltd., of its right-of-first-refusal purchase option as well as forcing Fung to agree to sell its 15 percent stake in the joint venture.

Toys’s 12 percent first-lien bonds that mature in 2021 fell more than 5 cents to 70.5 cents on the dollar on Monday, the biggest drop since they were issued in 2016, according to Trace bond price data.

In April, a lawyer for Toys told the judge overseeing the company’s bankruptcy that it had multiple bids worth more than $1 billion for the Asia business. Toys owns nearly 85 percent of the venture and Fung owns the rest.

Noncommittal Buyers

Since then, Toys has been unable to get one of the potential buyers to commit, according to court documents. The company blamed interference by Fung.

6-year-old YouTube star brings his own toy line to Walmart

  6-year-old YouTube star brings his own toy line to Walmart A 6-year-old boy whose toy reviews have drawn billions of views on YouTube will debut his own line of slime, stuffed animals and other merchandise at Walmart next month, the retailer said on Monday. The star of the YouTube channel Ryan ToysReview, known simply as Ryan, helped select the toys and apparel that will be sold under the name Ryan's World, according to children's media company pocket.watch, which negotiated the deal with Walmart.The Ryan's World merchandise will be sold exclusively at more than 2,500 Walmart stores in the United States and on the Walmart.com website starting Aug. 6.

The sale of Toys “ R ” Us ’s last and most valuable remaining asset, its Asia operations, has become Dispute centers on future use of Toys ’ name for Asia stores. Should no higher offers come in, they would automatically win ownership of the unit during an auction After filing for bankruptcy last year, Toys struggled to reorganize its complicated debt structure and save the company’s U . S . operations.

Toys ' R ' Us May File for Chapter 11. Toys “ R ” Us Inc., the ultimate toyland for a generation of postwar baby boomers, filed for bankruptcy The bankruptcy filing in Richmond, Virginia, estimated the company has more than billion in debt , which it pays around 0 million a year to service.

A representative for Fung working on the Toys’s case didn’t return an email seeking comment.

By naming the lender group as the so-called stalking horse bidder, Toys would set the ground floor for the proposed September auction.

After filing for bankruptcy last year, Toys struggled to reorganize its complicated debt structure and save the company’s U.S. operations. When that effort failed earlier this year, Toys began liquidating its worldwide operations, selling its Canadian and central European businesses and shutting down is U.S. stores.

The liquidation sales may not bring in enough money to even cover the cost of the bankruptcy, with suppliers, lawyers and former employees all seeking payment for services they provided after Toys sought court protection in September.

On Sunday, the company filed an outline of how it plans to split among creditors the money it has raised from selling assets. But the document left out any estimates of how much creditors are likely to recover.

The case is Toys “R” Us, 17-34665, U.S. Bankruptcy Court, Eastern District of Virginia (Richmond)


©2018 Bloomberg L.P.

More than 1 million people default on their student loans each year .
More than 1 million people default on their student loans each year. New research sheds light on which borrowers are at-risk of falling behind, and the consequences of doing so.Outstanding education debt in the U.S. has tripled over the last decade and now exceeds $1.5 trillion, posing a greater burden to Americans than auto or credit card debt.

—   Share news in the SOC. Networks
usr: 3
This is interesting!