More than 400 Macy’s stores in the US will open Toys ‘R’ Us shop-in-shops next year, the company announced Thursday.

The department store company is reviving the once-defunct American toy company through a partnership with brand management company WHP Global, which bought a controlling stake in Toys ‘R’ Us parent company Tru Kids earlier this year.

In a statement, Macy’s chief merchandising officer Nata Dvir said significant sales growth in the retailer’s existing toy business prompted it to look for opportunities to expand its footprint. Macy’s website has already started selling toys.

A once-thriving toy store, Toys ‘R’ Us filed for bankruptcy in 2017 and went into liquidation after facing crippling debt. The company’s intellectual property was bought by several lenders and private equity groups, which formed the company Tru Kids. In 2019, two Toys ‘R’ Us locations were reopened under Tru Kids, but both stores shuttered earlier this year because of the pandemic.

Macy’s push into toys is a nod to department stores increasingly clearing floor space for categories that are not fashion and apparel. Kohl’s has inked a deal with Sephora and also had dedicated floor space for Amazon electronics and returns.

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