Acquisition will create the largest toy retailer in Europe.
Smyths Toys Superstores is to acquire Toys R Us’ operations in Germany, Austria and Switzerland, in a move that will create the largest toy retailer in Europe.
Smyths Toys already successfully operates 110 toy stores and online shops in Ireland and Great Britain, and will now add a further 90 stores and online operations in another three European countries.
Subject to the final approval of the responsible court as well as other regulatory and contractual obligations, Smyths will acquire and rebrand all businesses branded Toys R Us in Germany, Austria and Switzerland.
It will also take on all employees and management in these three countries, including the head office in Cologne.
“We are convinced about the future of multi-channel specialist toy retail and are confident that we can successfully introduce and grow our brand in Continental Europe,” said Tony Smyth on behalf of Smyths Toys.
“The Toys R Us business is profitable, has a strong leadership team and already has many loyal customers. It provides a great starting point for our expansion.”
Detlef Mutterer, md of Toys R Us Central Europe, added: “After an extensive sales process, my colleagues and I are pleased that Smyths Toys has won the bidding process for our business.
“Smyths Toys is a proven leader in the retail industry. They have achieved strong growth in recent years and will complement our business in an ideal way. We look forward to working with our new colleagues, responding to customers and growing the business further.
“We already have many suppliers in common and we see this as good news for the supplier community and our other business partners.”