Creditors of Toys ‘R’ Us UK overwhelmingly approved the struggling retailer’s restructuring plan at a meeting yesterday, enabling it to stave off a collapse into administration, Reuters reported. Earlier this month the British arm of Toys ‘R’ Us Inc of the United States, which filed for bankruptcy protection in September, said it would seek creditor approval for a Company Voluntary Arrangement (CVA). The plan will see the closure of at least 26 of its 105 British stores in 2018 and reduced rent on the stores that stay open. It would lead to 500-800 redundancies among its total workforce of 3,200. The stores earmarked for closure will, however, remain open as normal through Christmas and into the new year. At yesterday’s meeting 98 percent of Toys ‘R’ Us’ UK creditors, voted in favour of the restructuring proposals, surpassing the required 75 percent threshold.
