Card Factory (LSE:CARD) surged on Thursday after unveiling the $25 million (£19.7 million) takeover of gift and celebrations essentials wholesaler Garven Holdings.
Acquiring the Minnesota-based Garven Design and Cadence Packaging owner meant physical entry to the £70 billion US gift and celebrations market, Card Factory said.
“Garven represents an exciting opportunity for Card Factory to build scale in the world's biggest celebration occasions market,” chief executive Darcy Willson-Rymer commented.
“Together with our separate wholesale supply agreement covering over 1,100 stores across the US, it establishes a physical presence.”
Card Factory funded the takeover, which was completed on Wednesday, from existing cash and debt facilities, it added.
The retailer also noted the start of Christmas trading had been encouraging and that expectations for the full year remained unchanged.
Shares climbed 9% to 98.41p on Thursday.