NEW YORK (Reuters) ? Bermuda-based Helen of Troy Ltd. yesterday said it would buy the maker of Good Grips kitchen tools for $275 million in order to add higher-margin goods to its line of personal care products.

Shares of Helen of Troy, which makes products such as hair dryers and body massagers under brand names including Vidal Sassoon and Revlon, jumped as much as 12 percent to a record high.

The company will acquire Oxo International, the maker of Good Grips, from WKI Holding Co. Helen of Troy said it would also sell its 55 percent stake in Tactica International Inc. back to Tactica as part of its move to focus on faster-growing products.

The OXO brand boasts more than 500 products, mainly for the kitchen, that are known for their award-winning modern designs. Oxo maintains strong relationships with retailers ranging from Williams-Sonoma to Target, where Helen of Troy has been trying to bolster its presence.

?I think it?s a great transaction,? said analyst Jason Diamond of Capstone Investments. Diamond said shedding Tactica means that Helen of Troy is turning away from infomercials and toward direct marketing through retailers.

Shares of Helen of Troy were up $3.32 at $32.73 in late morning trade, after rising as high as $33.07 earlier.

Helen of Troy said it does not expect a material gain or loss from the sale of the Tactica stake, but it lowered its earnings outlook for the 2004 fiscal year ended February 29 to reflect Tactica?s fourth-quarter results.

The company raised its fiscal 2005 outlook to reflect the impact from the Oxo purchase, which it expects to complete in the second quarter.

Helen of Troy said it now sees fiscal 2004 earnings of $1.89 to $1.93 a share, down from its previous outlook for $2.05 to $2.10 a share. It sees 2005 earnings of $2.50 to $2.70 a share, up from its prior outlook for $2.30 to $2.40 a share.

For WKI, the deal provides a significant cash infusion that will help the Reston, Virginia-based maker of Pyrex, CorningWare and Baker?s Secret products dramatically reduce its debt load. The company, which emerged from bankruptcy protection last year, said Oxo offered limited synergies with its other brands.

Oxo sales for the next 12 months are expected to exceed $100 million, the company said.

Banc of America Securities advised Helen of Troy on the Oxo acquisition.