Toys ‘R’ Us and Babies ‘R’ Us at Westfield Miranda will close its doors after efforts to save the retail chain failed.
Seven hundred staff will lose their jobs when the company’s 44 stores across Australia shut over the next few weeks.
The retailer continued to trade after entering voluntary administration in May.
The US parent parent company collapsed in March.
Administrator McGrathNicol said, “Despite productive discussions with a number of interested parties, all of the parties have now advised the administrators they have withdrawn from the sale process”.
”Therefore, a going-concern sale will not be achieved and the business will now be wound down."
The administrator said the online ordering system would shut on Friday and stock liquidated through the store network.
Toys ‘R’ Us gift cards would be honoured until July 5 provided customers spent an additional equivalent amount.
“In other words, to utilise a $100 gift card in full, customers must spend at least an additional $100 in store," the administrator said.
Existing laybys would be honoured until the same date “provided the outstanding balance is paid and the stock is available”.
McGrathNicol broke the news to employees on Wednesday.
Staff entitlements such as super and unpaid leave would rank as priority claims against Toys 'R' Us assets and were expected to be paid in full, the administrator said.
