Toys R Us rejects Bratz CEO’s buyout offer for being too low, report says

Toys R Us has rejected MGA Entertainment CEO Isaac Larian's $675 million bid for about 30 percent of the remaining U.S. and Canada locations of the business.

CNN Money reported that the bid, which was made April 13, was too low, according to sources.

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Toys R Us filed for Chapter 11 bankruptcy in 2017 and announced store closings March 15.

“If this is true, it is very disappointing,” Larian said of the report. “We feel confident that we submitted a fair valuation of the company’s U.S. assets.” Larian added that he wants to keep working to save the business.

Credit: Justin Sullivan

Credit: Justin Sullivan

Larian’s company, MGA Entertainment, is known for making Bratz dolls and Little Tikes toys.

Related: CEO of MGA Entertainment makes formal offer to buy Toys R Us

"The liquidation of Toys R Us is going to have a long-term effect on the toy business. The industry will truly suffer," the billionaire said in a statement last week announcing the bid. "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."

At the time, Larian said he would use his own money and financing from banks and other investors for the bid.

Toys R Us is considering other offers, CNN Money reported.

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