Bankruptcy Judge Rejects FAO's Right Start Sale

Share this content:
FAO Inc's deal to sell The Right Start stores chain was rejected yesterday by a Federal bankruptcy judge, according to reports.


The ruling will spark liquidation sales at The Right Start and 300 employees will lose their jobs.


Judge Joel B. Rosenthal cited financing concerns over Right Start Acquisition Corp., which was established by private equity firm Hancock Park Capital, as the primary reason for rejecting the deal.


FAO said yesterday it would continue to liquidate its Zainy Brainy stores and pursue the sale of FAO Schwarz and Right Start.


FAO Inc. owns 15 FAO Schwarz stores, 38 The Right Start stores and 89 Zany Brainy stores. It filed for bankruptcy Dec. 4 after emerging from bankruptcy protection only eight months earlier.


close

Next Article in Multichannel Marketing

Sign up to our newsletters

Company of the Week

We recently were named B2B Magazine's Direct Marketing Agency of the Year, and with good reason: We make real, measureable, positive change happen for our clients. A full-service agency founded in 1974, Bader Rutter expertly helps you get the right message to the right audience at the right time through the right channels. As we engage our clients' audiences along their journey, direct marketing (email, direct mail, phone, SMS) and behavioral marketing (SEM, retargeting, contextual) channels deliver information relevant to the needs of each stage. We are experts at implementing and leveraging marketing technologies such as CRM and marketing automation in order to synchronize sales and marketing communications. Our team of architects and activators plan, execute, measure and adjust in real time to ensure the strategy is working as needed and change things if it's not.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above