Toronto-based retail chain Canadian Tire Corporation (CTC) has entered into an agreement to purchase Olso, Norway-based outerwear manufacturer Helly Hansen for C$985 million.

Under the deal, which is expected to close in Q3 2018, Canadian Tire also assume C$50 million in operating debt.

Operating more than 1,700 retail locations under its Canadian Tire, Sport Chek, National Sports and Mark’s Work Warehouse chains, CTC has a long history with Helly Hansen as one of its largest customers worldwide. “For more than 10 years, Helly Hansen has been an exceptional fit with CTC and this acquisition will strengthen our assortment across all of our banners,” said Canadian Tire CEO, Stephen Wetmore. “With our capabilities and Helly Hansen's trusted global brand and management team, we see tremendous opportunity for CTC and Helly Hansen, in Canada and internationally.”

Helly Hansen CEO Paul Stoneham is expected to continue to lead the business from its existing facility in Oslo. “CTC provides us with the ideal platform to further accelerate our growth trajectory and also strengthen our Canadian presence,” he said. “This is a great opportunity for Helly Hansen and our team.”

Canadian Tire is one of Canada’s largest sporting goods retailers. Founded in 1922 as an automotive supply store, it has expanded its operations to sell a wide variety of consumer goods including housewares, lawn and garden equipment, sporting goods, hardware and marine accessories.