Toy store Hamleys has announced a move into the Middle East.
Hamleys, which launched its first international outlets in Denmark last year, said it had signed a franchise agreement with Daud Investments to open a store in Dubai in 2007 - in the largest mall in the world.
This will be followed by further openings in Kuwait and Saudi Arabia.
The retailer, which is owned by Icelandic invest-ment group Baugur, operates from five regional airports in the UK, along with its iconic flagship store on Regent Street, in central London.
The firm is also in talks with potential new partners in India and China.
Daud Investments owns franchises in a number of Middle East countries for McDonalds, Yo-Sushi, GBK and Morrelli's, among others.
Hamleys' flagship store has seven floors of toys and games. Featuring live and interactive demonstrations, it attracts five million visitors a year.
Baugur has built up a retail empire in the UK that includes the Iceland super-market chain and tea and coffee vendor Whittards of Chelsea.
It has a ten per cent stake in Woolworths and was part of the consortium led by Sir Tom Hunter that recently secured a £311 million takeover of Wyevale Garden Centres.
It is currently in takeover talks with department store group House of Fraser and owns a number of clothing brands that House of Fraser stocks, such as Karen Millen and Whistles.
Baugur also has Black Country specialist food retailer Julian Graves.