KB Toys | 3,102 followers on LinkedIn. As recent as 2004, KB Toys was the nation’s largest mall and internet-based toy retailer—with 1,300 stores in 50 states (plus Guam and Puerto Rico), over 20,000 employees and nearly $2billion in annual sales. Owned by Bain Capital and facing a liquidity crunch, KB Toys filed voluntary petitions for bankruptcy in 2004. With a new private-equity sponsor (Prentice Capital Management) and a new credit facility (General Electric), KB Toys emerged from bankruptcy in August 2005.