MARSHALL — Runnings has announced plans to buy a retail company based in North Dakota. In a Thursday news release, Runnings said the company has reached an agreement to purchase Home of Economy, a family-owned company with eight stores.

The purchase transaction is scheduled to close in September, Runnings spokespeople said. The acquisition will mean that Runnings’ footprint will expand to 90 locations in 12 states.

“Home of Economy has been in business for 85 years, founded by my grandparents Bob and Jean Kiesau,” said Home of Economy CEO Scott Pearson. “When we decided it was time to sell the company, it was vital to us that we found a partner who would carry on our legacy of providing every customer with the products and services they need at guaranteed lowest prices. We have confidence that Runnings is that company.”

“We have known Home of Economy and the Kiesau family for decades,” said Brian Odegaard, president of Runnings. “These stores and communities are very similar to the markets we presently serve, including our six other North Dakota locations. Their products and services are also comparable. After discussions with Home of Economy’s leadership, both companies knew this would be a great fit.”

Home of Economy started out as an auto parts wholesale business. A news release from Runnings said Home of Economy is considered by many to be the first discount store. Previously, free-trade laws required retailers to sell automotive parts at high, fixed prices, the release said. Bob Kiesau created a way to serve farmers by implementing a fleet discount program. Later in the 1950s, the Kiesaus founded Mid-States, a buying and distribution group with members that include both Home of Economy and Runnings.

Today, the stores of both companies carry products from automotive to farm and ranch supplies, products for pets and animals, tools, housewares, and sporting goods.

Upon completion of the sale to Runnings, the owners of Home of Economy are planning on continuing to operate The Amish Gallery, a furniture retail store in business since 1960, a news release said. The Amish Gallery will be relocating to a new, independent location in Grand Forks.

Home of Economy stores will continue to operate under the Home of Economy name for a limited time as they transition to the Runnings brand.

“I have personally visited all of the Home of Economy stores. I respect their history and have been particularly impressed with the team members I encountered,” said Odegaard. “We can’t wait to add the Home of Economy stores and staff to our growing company.”