One of Canada's largest toy companies will be going outdoors to play in the pool with the purchase of Swimways Corp.
Spin Master Corp. (TSX:TOY) says it will pay about US$85 million up front and up to an additional US$8.5 million over four years, based on sales growth at Swimways, which would operate as a stand-alone subsidiary based in Virginia.
Since listing its stock on the Toronto Stock Exchange in July 2015, Spin Master has bought the Cardinal Industries game and puzzle business and the Etch A Sketch business from the Ohio Art Company, among other acquisitions.
The Swimways headquarters would remain in Virginia Beach, Va. It also has a manufacturing and distribution facility in North Carolina, an office in China and a total of 149 employees.
It makes a variety of pool toys including squirt guns, flotation devices and pool decor.
This content appears as provided to The Globe by the originating wire service. It has not been edited by Globe staff.