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Toy Chest

FAO seeking capital to fund shops in Saks, Borders stores

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FAO Inc. (King of Prussia, Pa.) has announced the engagement of an investment banker to assist it with plans to raise additional capital.

The toy retailer said the capital would be used, in part, to fund expenditures related to the installation of boutiques in Saks Inc. and Borders Group Inc. stores.

FAO, which operates more than 140 retail outlets under the Zany Brainy, Right Start and FAO Schwarz banners, filed for Chapter 11 bankruptcy protection in January 2003 and emerged from bankruptcy in April.

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