Halfords has expanded its reach in the cycling market by acquiring an online retailer of premium bikes and accessories for £18.4 million.
The Redditch-based retailer has bought Swansea outfit Tredz, which sells bikes, parts, accessories and clothing, and Wheelies, which provides bicycle replacement for insurance companies.
Together, they employ 250 people and have been sold to Halfords by founders and brothers Keith and Michael Jones.
The £32 million-turnover firms will continue to trade on a standalone basis and be led by Keith Jones and the existing management teams.
Dependent upon the financial performance of Tredz in the coming year, there will be an element of deferred consideration payable in 12 months.
Jill McDonald, chief executive of listed Halfords, said: "We are delighted with this acquisition which we believe is a strong and complementary addition to the group, extending our presence in the online market for premium bikes, parts, accessories and clothing.
"We continue to believe in the long-term growth potential of the cycling market.
"Keith and his management team have done a fantastic job of building a successful online retail operation and we look forward to working with them to develop and grow the businesses further."
Keith Jones, group managing director of Tredz and Wheelies, added: "We are very proud of the businesses that we've grown from a small shop 27 years ago into a strong operator in the premium cycling market.
"However, the time has come for us to work with a partner on the next phase of growth.
"Halfords is exactly what we were looking for. With the support and resources of a large group, we look forward to building upon what we have achieved so far to drive long-term growth."