Brazil's Grupo Toky judicial recovery

In mid‑July 2026, the São Paulo Court approved Grupo Toky's filing for judicial recovery, acknowledging debts exceeding R$1 billion. The restructuring plan is intended to keep the furniture‑retail brands Tok&Stok and Mobly operating, suspend creditor actions for 180 days and protect roughly 2,000 jobs. Customers with pending orders were warned that contracts remain valid, though deliveries might be delayed as suppliers tighten credit.

Two weeks later, shareholders voted to implement a 20‑for‑1 reverse stock split. The consolidation reduces the number of ordinary shares while keeping the company’s capital at R$1.278 billion, aiming to lift the share price above the R$1 threshold required by Brazil’s B3 exchange. The move is designed to prevent regulatory sanctions while the firm remains under judicial recovery. The new share structure will trade from late August, with fractional shares pooled and auctioned for distribution to shareholders.