TORONTO — Sleep Country Canada says it is expanding into the U.S. market with the acquisition of Sleep Number following a court-supervised sale process.

Documents filed in U.S. Bankruptcy Court say Sleep Country agreed to pay about US$702 million for the assets.

Minneapolis-based Sleep Number announced in June that it entered into an agreement to combine with Sleep Country and initiated a voluntary bankruptcy sale process.

Following the acquisition, Sleep Country says it will have more than 800 store locations and will become the second largest sleep retailer in the world.

As of June, Sleep Number had over 570 stores across the U.S.

Sleep Country says additional information regarding the integration of Sleep Number will be shared as plans progress.