News
Magson buys Youngsters
Helen Jacobs Apr 7 2008, 11:35am
Comments (6)
200 jobs saved as distributor takes over buying group and retail chain.
JA Magson has purchased the businesses and certain assets of Youngsters and Toyzone, according to KPMG Restructuring.
The sale sees Magson acquire the buying group plus all of the 20 Toyzone stores.
David Crawshaw, KPMG Restructuring partner, said: “This is a great result for Youngsters and Toyzone and we're pleased to have been able to save 200 jobs at the two companies.
The deal provides JA Magson with an excellent strategic fit with its current business and we wish the company well in the future.”
Comments
“distributor or retailer”
Posted by: J Chapman - Apr 7, 4:50pm
I feel this is a conflict of interests, how can Magsons see themselves as a distributor when they now have retail outlets, they will be giving a reduction to their own stores which will unfairly have an impact on other retailers. And remember they now are the UK distributor for Mega products!
“Re: distributor or retailer”
Posted by: Pikachu - Apr 7, 5:06pm
Do LEGO not already do this? First they were a manufacturer and distributor, now they are a retailer.
“Re: distributor or retailer”
Posted by: Retailer - Apr 7, 9:34pm
In the current climate I think it is good that somebody has taken on the exstensive debts incurred by Youngsters Group. It may be good that the purchaser was Agilo Limited the owners of Magson but at least jobs have been saved where they could have. Hopefully long term Agilo have plans for the group which so that we all could have a future as of last week we had not
“Re: distributor or retailer”
Posted by: mark - Apr 7, 10:13pm
Does it matter if it is distributor or retailer - Youngsters tried to do both and failed at both, so this has got to be better.
Take a look around and you will see that most manufacturers / dsitributors are also retailers (either on the high street or on-line). This is a fact of the way things are changing.
At least they already have a warehouse and a massively better catalogue of products than I have ever seen Youngsters with, so things should get better.
“Re: distributor or retailer”
Posted by: Anon - Apr 8, 11:11am
Magson have NOT taken the Debts.
They bought the Stock and outlets to help sell it !!
“Re: distributor or retailer”
Posted by: crazy - Apr 8, 12:48pm
Toyzone has failed many times, The high street is now cheaper than the factory outlets , so Magson buy some cheap stock, take on 20 liabilities , no doubt close them once they have earnt their monies, the whole thing is an embarassment to the toy industry with catastrophic consequences. What is even more sad is the sheer arrogance of AIS starting up their own toy buying group. Surely their is only room for 1, and Toymaster know and understand how to best serve their members whilst being prudent in their operations, Please to all Youngsters members it is in the best interests for independant toy retailing that you join Toymaster. Of course if AIS were to merge with Toymaster their would be substantial cost savings which will benefit all, and that will happen in time! Watch this space!