The HaStock chain has announced it is expanding its operations to enter the toy market by acquiring two leading brands, Red Pirate and Toys R Us. “For us, this is the opening shot,” the company stated.
The acquisition, pending approval by the Competition Authority, includes the two toy industry brands. HaStock described the move as a significant milestone, poised to benefit Israeli consumers by addressing the cost of living.
Since its establishment, HaStock says it has brought a consumer revolution to its sector, leading to considerable price reductions. The company aims to replicate this success in the toy market and hopes the trend of affordable pricing will persist post-acquisition.
Household names
Red Pirate and Toys R Us, part of the Fishman Chains Group owned by Eyal Fishman, operate around 40 branches nationwide and are considered household names in Israel. Together, the chains generate an annual sales turnover of approximately 300 million shekels and employ around 400 staff members.
Under the agreement, both brands will retain their current formats, including their national distribution networks and original names. Additionally, plans are in place for expansion, with new stores expected to open in the coming years.
Commitment to lowering prices
Ofer Barak, CEO and owner of HaStock, emphasized the company’s dedication to affordable pricing. "Amid ongoing reports of economic cuts starting January 2025, the Israeli public is eager for news that alleviates the financial burden, even slightly.
After demonstrating our ability to effect market changes with HaStock, we’re confident in our ability to bring similar breakthroughs to the toy sector. Red Pirate and Toys R Us are beloved brands in Israel, and alongside price reductions, we aim to enhance the shopping experience and strengthen relationships with existing franchisees. This is just the beginning—we’re planning additional initiatives to reshape the Israeli toy market."
Established in 2006, HaStock now operates 42 branches across Israel. The chain plans to open 11 new locations by the end of 2025, including major outlets in Kiryon, Afula, the G Complex in Rishon Lezion, Bat Yam, and Atidim Park in Tel Aviv. With a customer base of over 750,000 members, HaStock expects to end 2024 with a 23% increase in revenue.