Toys"R"Us ANZ (ASX: TOY) has acquired RIOT's key assets, a 50-year-old arts and crafts retail brand.

The move expands Toys"R"Us' presence in e-commerce, broadening its product portfolio and allowing it to access approximately 540,000 retail and 2,400 wholesale customers.

Pending shareholder approval, Toys"R"Us plans to issue shares valued at $350,000 to the sellers, with potential additional shares or options up to $500,000 annually based on performance.

CEO Penny Cox said the acquisition aligns with Toys"R"Us' growth strategy.