Pan Pacific International Holdings Corporation has signed a sponsor agreement to take over the toy and baby-goods retail business of Japan's Toys R Us, which filed for civil rehabilitation at the Tokyo District Court on the same day. The deal is not done: execution is planned for October 30, and it depends on court permission and other conditions.
What has been agreed
The company's board resolved on September 29, 2026 to sign, and the agreement was concluded on October 1. The buyer is Operation Shared Service Co., a wholly owned subsidiary of Pan Pacific. The subsidiary is set to acquire the toy and children's goods business that Japanese Toys R Us runs in stores and online, through a business transfer.
Operation Shared Service, set up in 2019 with capital of ¥10mn, handles general affairs and personnel work for group companies. Toys R Us Japan, founded in 1989 and based in Kawasaki, also has capital of ¥10mn.
What still stands in the way
Completion is conditional on court permission under Article 42, paragraph 1, item 1 of the Civil Rehabilitation Act, among other conditions the notice does not list. The notice gives no purchase price.
On staff and stores, Pan Pacific says it aims to take over all Toys R Us Japan employees where possible. To do that it plans to ask landlords to cooperate in giving consent to transfer every store. That is an aim and a planned request, not a commitment that every store or job will move.
The buyer's rationale
Pan Pacific says the purchase fits its long-term plan, Double Impact 2035, drawn up in August 2025, which targets sales of ¥4.2tn and operating profit of ¥330bn in the year to June 2035. It describes domestic retail as the core of growth. It says Toys R Us Japan's customer base, which runs from infants to families, and its nationwide store network would bring new customers and raise lifetime value.
Pan Pacific says the effect on its results is still being examined and that it will disclose anything material promptly. It describes the notice as voluntary: the matter does not meet the Tokyo Stock Exchange's timely-disclosure criteria, and some items were omitted.