Basic Fun!, a major toy manufacturer in the United States, filed for bankruptcy reorganization!
author：Chinese and foreign toy network
introduction
At the end of last week, local time, Basic Fun!, a well-known toy company with many classic American brands, filed a bankruptcy reorganization request with the court.
Basic Fun!, a major toy manufacturer in the United States, filed for bankruptcy reorganization!
Restructuring is based on retreat
It is understood that the debts involved in this bankruptcy reorganization are between 50 million and 100 million US dollars, there are hundreds of creditors, and the company's assets and debts are roughly the same. According to the company's CEO and majority shareholder Jay Foreman, the company has applied to Great Rock Capital for $50 million in DIP financing (i.e., the financing funds are controlled by the debtor for financial restructuring) and a $15 million ancillary loan from RBC (Royal Bank of Canada) and the company's founders, Jay Foreman and John MacDonald.
Jay Foreman said in a public statement that Basic Fun! has a good business foundation, but that the industry volatility in recent years has caused the company to need some adjustments in order to grow better. "To use a house metaphor, the foundation and structure of the house are still solid, but the roof and façade need to be renovated to protect them from the wind and rain."
Basic Fun!, a major toy manufacturer in the United States, filed for bankruptcy reorganization!
公司创始人之一Jay Foreman
Indeed, in recent years, the toy industry has been very unstable: the bankruptcy of US and European companies in 2018, the trade friction with China provoked by Trump in 2019, the 2020-2021 new crown epidemic, the global supply chain crisis in 2022, the inventory backlog in 2023, and the slowdown in toy consumption at the beginning of this year have brought many challenges to the company's operations. "So the company needs this restructuring opportunity to take a good look at the situation and better adapt to the challenges ahead." Jay Foreman said in a public statement.
The company's foundation remains solid
It is understood that Basic Fun! has more than 2,500 retailers and distributors in more than 60 countries and regions around the world, and its products are mainly licensed and classic brands.
Basic Fun!, a major toy manufacturer in the United States, filed for bankruptcy reorganization!
Basic Fun!'s partner brand (screenshot of official website)
授权合作伙伴包括：迪士尼、美泰、孩之宝、任天堂、奈飞、可口可乐、环球影业和NBA在等。 旗下拥有诸多陪伴几代美国人成长的经典品牌，如费雪经典系列（Fisher Price Classics）、爱心熊（Care Bears）、小小宠物店（Littlest Pet Shop）、通卡玩具小卡车（Tonka）、Lite Brite、建乐思（K’Nex）、原木积木（Lincoln Logs）等等。
Basic Fun!, a major toy manufacturer in the United States, filed for bankruptcy reorganization!
Basic Fun!, a major toy manufacturer in the United States, filed for bankruptcy reorganization!
Basic Fun!, a major toy manufacturer in the United States, filed for bankruptcy reorganization!
Basic Fun!部分主推产品
Basic Fun! believes that once the DIP financing application is approved, the company will be able to quickly get out of the situation and continue to operate its business without any impact on its planned business and product delivery.
