NEW YORK (Reuters) - Private equity-backed retailer Toys R Us TOY.UL is likely to file for an initial public offering imminently, a source familiar with the situation said on Thursday.
An IPO by the toy retailer has been long expected, and sources told Reuters last month that the retailer was being considered for an IPO.
Toys R Us was bought by Kohlberg Kravis Roberts & Co KKR.AS, Bain Capital and Vornado Realty Trust (VNO.N) in 2005 for $6.6 billion.
A filing could be as early as tonight, the source said, adding that was not certain and things could change.
The window for private equity exits reopened late last year after a long drought during the financial crisis, but the rocky markets over the past month have hurt companies’ plans to IPO.
Among the private equity-backed companies that have been taken public are KKR’s discount shopping chain Dollar General (DG.N), which floated in November.
Hospital operator HCA Inc, backed by Bain and KKR, earlier this month filed for an IPO of up to $4.6 billion, the biggest buyout-backed offering since the financial crisis began nearly three years ago.
Other IPOs are waiting in the wings, such as Nielsen, the world’s largest TV and consumer measurement company, which is owned by a consortium including Carlyle CYL.UL, Blackstone Group (BX.N), a source have told Reuters.
Earlier this year, Toys R Us posted higher fourth-quarter earnings as strong toy sales offset weak demand for video games in the holiday shopping season.
Toys R Us was not immediately available for comment. Bain and KKR declined comment. Vornado was not immediately available for comment.
Reporting by Megan Davies; Editing by Steve Orlofsky