Scholastic Passes on eToys Bid
NEW YORK (AP) _ Scholastic Corp., the world’s largest publisher and distributor of children’s books, said Monday it has not bid for any of the assets of defunct retailer eToys and will not purchase the bankrupt firm’s inventory.
EToys filed for bankruptcy protection on March 7.
In a statement released late Monday, Scholastic said the acquisition of ``selected eToys assets did not meet 1/8the company’s threshold for accelerating or reducing the costs of its Web initiatives.″
Scholastic has plans to launch a Web site that will let parents buy children’s toys, including Scholastic’s own products. The site is expected to be launched in a couple of months, Judy Corman, a company spokeswoman said.
Scholastic had conditionally won an auction to buy eToys inventory, representing the highest offer of more than 30 bidders. The bid, however, was also contingent on it winning the auction, slated for Thursday, for all the shares of the reorganized company.