It looks like GoFundMe won't be the way to save Toys "R" Us, but Isaac Larian has a new plan to save the longtime toy giant.
Larian is chief of MGA Entertainment and put up $100 million in that original GoFundMe to try and save the company. That plan is being scrapped though, with Larian submitting a $675 million dollar bid on Friday to buy 274 Toys R Us stores in the U.S (via LA Times).
He also put in another $215 million dollar bid to acquire the 82 stores in Canda, which are remaining open for business. The big difference here, of course, is that all of this money is coming from Larian's coffers, other investors, and bank financing, as opposed from the public.
"The time is now. Every day that goes by, the value of Toys R Us declines and more people lose their jobs," Larian said in a statement. "I did my part and now it's up to the other side to accept this offer. If they do, the real work will begin."
The original GoFundMe had only managed to raise $59,500 (from over 1,970 people) in addition to Larian's $100 million and another $100 million from additional investors. The campaign's goal was for $1 billion so that they could purchase all 735 remaining stores, but it wasn't going to ever reach it.
Larian also stated that none of those funds from small donors will be used, and admitted that the GoFundMe campaign was more of a publicity stunt to gather interest from large investors.
Now it's up to the court that is overseeing the auction of Toys "R" Us' assets to approve the bid and move forward, and Larian knows time is of the essence.
"The liquidation of Toys R Us is going to have a long-term effect on the toy business," Larian said. "The industry will truly suffer. The prospect of bringing the Toys R Us experience to a new generation, my new grandson's generation, is enough to motivate me to save Toys R Us."4comments
Larian knows even if the bid
"I like challenges," Larian said. "I have some big, out-of-the-box ideas to save Toys R Us and grow the business if I'm successful in getting Toys R Us assets."