(Reuters) - Canada’s Dorel Industries Inc said it would buy Hong Kong-based Lerado Group, a maker of baby strollers and infant car seats, for $120 million to expand in Asia.
The deal will give Dorel, known for its Cannondale and Schwinn bicycles, its first company-owned factories in Asia.
Lerado Group, a unit of Lerado Group Holding Co Ltd, also makes baby beds, soft goods, high chairs and bouncers.
Dorel bought a majority stake in Brazil’s largest cycle company Caloi last year, in a move to expand its recreational unit.
RBC Capital Markets, KPMG and Norton Rose Fullbright advised Dorel on the Lerado deal.
Dorel’s shares closed at C$40.17 on the Toronto Stock Exchange on Friday.
Reporting By Sneha Banerjee in Bangalore; Editing by Saumyadeb Chakrabarty