Putman Investments to Acquire Toys ‘R ‘Us and Babies ‘R’ Us Canada
Aug 20, 2021 By MarketDepth
Putman Investments revealed Thursday it will be acquiring Toys ‘R’ Us and Babies ‘R’ Us Canada from Fairfax Financial Holdings Ltd. The investment company already has plans on how to update the retailer.
Financials Not Disclosed
The company has yet to disclose financial information regarding the deal. Nevertheless, Fairfax chief executive Prem Watsa highlighted that his company would continue to receive a royalty stream and it will also keep any real estate it had bought when initially acquiring the retailer in 2018.
“The transaction continues the implementation of the monetization plan for certain non-insurance holdings of Fairfax. Fairfax retains substantially all of the real estate acquired in our original purchase of Toys’R’Us Canada and, through a continuing royalty stream, we are provided with an opportunity to benefit over time in the future success of the business,” said Watsa.
5,000 Employees in Canada
Both Toys ‘R’ Us and Babies ‘R’ Us Canada employ almost 5,000 people within its head office as well as in-store.
“Toys’R’Us and Babies’R’Us are extremely strong brands that have been in great hands over the past three years,” says Doug Putman, founder of Putman Investments. “Since its split from the U.S., we’ve watched the way in which the company has grown and focused on the Canadian customer. Much has been achieved and we’re excited to help to drive the business forward.”
According to Putman, his investment firm feels Toys “R” Us and Babies “R” Us Canada are a “fantastic fit” for the company as he has a track record of buying iconic retailers and turning them around.
“We definitely think that there’s a lot more growth and opportunity with Toys “R” Us in Canada.”Doug Putman, Founder of Putman Investments
“We definitely think that there’s a lot more growth and opportunity with Toys “R” Us in Canada, so I think we’re excited to take on the challenge and start growing the business again,” Putman said.