Hilo Hattie, one of the state's largest retailers of Hawai'i fashions and gifts, is being sold to a California-based company.

TOC Inc., which owns the Hawai'i franchise rights to the Fantastic Sams hair salons, will acquire the 45-year-old company.

The price was not disclosed.

"Hilo Hattie is a strong retail company with an incredible history in Hawai'i," said Ted Nelson, principal of TOC. "We are truly committed to building and expanding its brand."

The company operates nine retail outlets in Hawai'i and California, and employs about 200 workers. Nelson said his company plans to retain the stores and Hilo Hattie's employees.

He added that TOC is committed to adding a 10th location planned at the Royal Hawaiian Shopping Center in Waikiki.

Founded in 1963, Hilo Hattie is one of the state's largest fashion retailers. During the past several years, the company has downsized its operations to cut costs.

In 2006, the company outsourced many of its production functions that were previously handled at its Iwilei factory.

Company founder Jim Romig said he was confident in the buyer's plans to expand Hilo Hattie's operations.

"I'm extremely proud of the reputation Hilo Hattie has built in the island — as a favorite place for local residents and visitors to shop for aloha attire, gifts and made-in-Hawai'i products," Romig said.