Smyths Toys has struck a deal to buy the Toys R Us business in Germany, Austria and Switzerland.
The acquisition marks Ireland-based Smyths’ first push into mainland Europe and will bring it 93 shops and four online stores.
News of the deal came as Toys R Us’ remaining UK stores prepared for their final day’s trading following the retailer’s collapse.
Smyths, founded by four brothers – Tony, Tommie, Padraig and Liam Smyth – has 21 shops in the Republic of Ireland and 90 in Britain and Northern Ireland.
It entered the UK in 2007 and has succeed here as it competed against Toys R Us, trading from similar locations.
The retailer maintains strict privacy in Ireland, where details of its sales and profits are not available because it has unlimited status.
Smyths’ UK business generated sales of £396.5m – up 19% – in 2016, when pre-tax profits climbed 69% to £10m.
Cross Border Retail advised Smyths on the acquisition.