News Vivid Toy Group acquired by Goliath Goliath has announced its acquisition of the Vivid Toy Group, one of Europe’s leading independent branded toy and games companies, from Privet Capital for an undisclosed sum. Founded in 1980, Goliath is a world leading, privately-owned, international games specialist. In 2017, NPD recognised Goliath as the No. 1 pre-school games manufacturer and No. 3 children’s games manufacturer in the USA as well as the No. 2 overall games manufacturer in France. Using the combined scale of the Pressman, Goliath and Crown & Andrews game portfolios, Vivid will launch a completely new games range for 2019. Being well known for its major investments in digital marketing, social media and TV advertising, Vivid will get the full benefit of Goliath’s global marketing team. Tony Hicks, chief executive of Vivid Toy Group, commented: “The acquisition of Vivid by Goliath represents a bold new chapter in our company’s story. With Goliath’s backing, we are well supported to build a world leading portfolio that will continue to strengthen the company’s excellent long-standing relationships with the world’s leading retailers.” Adi Golad, chairman and founder of Goliath, added: “We are extremely pleased to have acquired Vivid which we believe has significant growth potential. With a long history of working together, we know the Vivid team well. Vivid is a highly professional, world class business spanning toys, arts & crafts and games, with an impressive track record of ‘endto-end’ excellence in each of its core functions. We welcome our new colleagues to the Goliath family and look forward to building a great business together.”
Mothercare to axe 150 jobs at Watford head office The head office jobs will go as the retailer seeks to meet a £19m cost-savings target outlined in a rescue plan struck with creditors earlier this year. The company has informed around 200 staff that their jobs would go as part of a restructuring. The net job losses are expected to total roughly 150, with 50 new roles being created in the reorganisation. The company has also said that it plans to sell its current headquarters in a bid to reduce its £21.5m debt. The chain announced a loss of £6.2m in its interim results - a revelation which saw the group MD David Wood resign from his post - and is battling a year-on-year like-for-like sales decline of 11.1%. Having raised £32.5m from investors to support its turnaround efforts, Mothercare has outlined plans to close 60 stores, leaving it with an estate of 77 outlets – 19 of which will be on reduced rental terms. In addition to the head office redundancies, roughly 800 jobs will disappear as a result of the shop closures. The company It said it would be “supporting our colleagues throughout the consultation process”. Mark Newton-Jones, CEO, commented: “We have continued our relentless focus to transform Mothercare into a business that has a sustainable and relevant future for its global customer base. We have completed the capital restructuring of the business, the UK store closure programme is well under way and due for completion earlier than planned, we are making our sourcing operations more efficient, and our cost-saving initiatives are well on schedule.” The company is also creating a separate corporate entity called Mothercare Global Brand, which will be responsible for developing the Mothercare strategy, maximising the value of the global brand, designing own-brand products and acting as the custodian of the brand. Mark added: “We are confident that our strategy will ultimately reinvigorate the business and restore Mothercare as a leading global specialist for parents and young children.”
Toys R Us Asia announces new joint ownership structure Taj Noteholders and Fung Retailing have reached an agreement to partner on the Toys R Us Asia business. Toys R Us Asia announced that the approximate 85% interest in Toys (Labuan) Holding Limited (the company) will be acquired by the holders of its parent company TRU Taj LLC’s Senior Secured Notes (the Taj Noteholders). As part of this transaction, Fung Retailing will acquire an incremental 6% of the company from the Taj Noteholders, thereby increasing Fung Retailing’s ownership to approximately 21%, making it the largest shareholder in the company. A spokesperson for the Taj Noteholders commented: “This transaction is a significant step in separating the valuable and growing Toys R Us Asia operation from the rest of the business. The company’s growth prospects in Greater China, Japan and Southeast Asia are bright and we are excited about investing in and owning the company in partnership with Fung Retailing.” Pieter Schats, executive director of Fung Retailing, commented: “Since introducing Toys R Us to Hong Kong in 1986, Fung Retailing has played an integral role in the successful growth and development of Toys R Us in Asia. As a sign of the confidence we have in the management team and future success of Toys R Us in the region, we are pleased to increase our shareholding in the Company, reflecting our commitment to support Toys R Us Asia in reaching new heights.” The company will continue to be led by its current president & CEO, Andre Javes, and his experienced management team, which has successfully built the business across the Asia region.
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