RETAIL: Toy Retailer One2Play in Bankruptcy; Economic Crisis Fast-tracks Retail Sector Concentration
On 14 February, the Croatian toy store retail chain One2Play announced it had failed to reach an agreement with its creditors on the reprogramming of a €16.6 million debt and would therefore start liquidating its stores and assets across Croatia. Once a high profile, promising and leading toy retailer, One2Play recorded a sharp decline in its financial fortunes over the past few years.
Founded in 2000 as a wholesaler, the company later transformed into a retailer, re-branding itself in 2007 under the ‘One2Play’ name. In 2011, One2Play posted record revenues of €18.05 million. By the end of 2011, the company’s economic downturn commenced, despite the promising toy market, valued at approximately €52.4 million, remaining stable amid the economic recession in Croatia.
In the summer of 2013, the company began talks with its principal creditors…