Toys”R”Us explores options for Asia business with the Fung brothers

Toys”R”Us, which filed filed for bankruptcy in North America last month to restructure its debt due in 2018 worth US$400 million, has been exploring options for its US$2 billion worth Asia business with its local joint venture partner, the Fung brothers, Bloomberg revealed.

The retailer, which has approximately 1,600 Toys”R”Us and Babies”R”Us stores around the world, owns approximately 85% of Toys“R”Us (Asia) Ltd. The other 15% is owned by Fung Retailing Ltd, a privately-held entity and member of the Fung Group.

The two have been speaking with investment banks to study the feasibility of listing the Asian business on the Hong Kong bourse as early as 2018, and the deal could value the unit at as much as $2 billion, sources told Bloomberg.