Toys “R” Us, Inc.’s $450 Million Chapter 11


Paul, Weiss advised an ad hoc group of pre- and post-petition secured noteholders in connection with the chapter 11 cases of Toys “R” Us, Inc. and certain subsidiaries.

Paul, Weiss advised

the group on the provision of $455 million in debtor-in-possession financing in the form of secured notes; the sale or liquidation of the company’s European and Australian operations; a fully consensual settlement of all intra-debtor and creditor disputes; and a successful credit bid to purchase the company’s interests in a joint venture that owned the Toys “R” Us Asian operations. The firm also advised the group on an amended shareholders’ agreement with the joint venture partner, Fung Retailing Limited, and on the noteholder group’s sale of 6 percent of the post-effective date equity to Fung that values the entire Asian business at $900 million. Paul, Weiss will be representing the Asian Company going forward.

The Paul, Weiss team included bankruptcy partner Brian Hermann (Picture) and counsel Samuel Lovett and Diane Meyers; corporate partners Kenneth Schneider, Lawrence Wee, Claudia Meredith-Goujon and Catherine Goodall and counsel Nathan Sawyer and Bruce Gruder; litigation partners Elizabeth Sacksteder and Jeffrey Recher; and tax partner David Sicular and counsel Todd Hatcher.

Involved fees earner: Catherine Goodall – Paul Weiss Rifkind Wharton & Garrison; Bruce Gruder – Paul Weiss Rifkind Wharton & Garrison; Todd Hatcher – Paul Weiss Rifkind Wharton & Garrison; Brian Hermann – Paul Weiss Rifkind Wharton & Garrison; Samuel Lovett – Paul Weiss Rifkind Wharton & Garrison; Claudine Meredith-Goujon – Paul Weiss Rifkind Wharton & Garrison; Diane Meyers – Paul Weiss Rifkind Wharton & Garrison; Jeffrey Recher – Paul Weiss Rifkind Wharton & Garrison; Elizabeth Sacksteder – Paul Weiss Rifkind Wharton & Garrison; Nathan Sawyer – Paul Weiss Rifkind Wharton & Garrison; Kenneth Schneider – Paul Weiss Rifkind Wharton & Garrison; David Sicular – Paul Weiss Rifkind Wharton & Garrison; Lawrence Wee – Paul Weiss Rifkind Wharton & Garrison;

Law Firms: Paul Weiss Rifkind Wharton & Garrison;

Clients: Ad hoc group of holders Toys “R” Us, Inc.;

Author: Ambrogio Visconti