Toys R Us is to ‘close its operations in Ireland just six months after opening its first store in the region.
The two stores, at the Westend Shopping Park in Blanchardstown and Parkway in Limerick, have now closed after ‘careful consideration’ over the future of the retailer’s Irish business.
Six month after launching in the country, Michael McAteer of Grant Thronton has ben appointed as receiver to the business.
The Irish business was launched last August by former Smyths Toys executive Brian Donoghue, who secured the licence to operate Toys R Us in Ireland from the global brand.
The plan was to roll out as many as five stores over the first year in operation, with a budget of around €5m, however it is understood that the Irish business struggled to compete with big players including Smyths Toys, in part because it failed to launch a website or online catalogue.
“After careful consideration, Toys R Us and the local franchisee in Ireland have decided to end their licence agreement that began last summer,” said Toys R Us in a statement.
“As a result, the franchisee closed its two licensed stores in Dublin and Limerick on Febraury 1st.”