The Irish toy retailer Smyths Toys Superstores has signed a deal to take over Toys R Us in Germany, Austria and Switzerland.
The deal was revealed by the German arm of the insolvent retailer on Saturday.
The family-owned Smyths will acquire 93 shops and four online stores via the planned deal, Toys R Us said in a statement on its German website. Financial details were not disclosed.
Rumours of the move from Smyths Toys emerged late last week but until now, neither Toys R Us or Smyths Toys had confirmed.
Toys R Us said last month it would try and maintain its more profitable locations in Europe and Asia as an on-going business while liquidating its US and UK operations.
The Irish company, Smyths, which runs 110 stores plus websites in Britain and Ireland, plans to take on all the Toys R Us units, staff and management in Germany, Austria and Switzerland.
“We are convinced that multi-channel toy retailing will develop positively and that we can successfully introduce and expand our brand in Europe,” co-founder Tony Smyth said.
The deal is subject to the approval of the US court and relevant authorities.