Kidde Inc. sold its Ertl toy manufacturing division.

Tonka Corp. announced that it has agreed to pay $89.6 million in cash and notes for Ertl. Stephen G. Shank, Tonka’s president and chief executive, said in a news release that the transaction is contingent upon on a definitive purchase agreement, required board approvals, government filings and waiting periods. Minnetonka, Minn.-based Tonka said it expects to complete the deal soon. Ertl, based in Dyersville, Iowa, manufactures and markets metal toy cars, trucks and farm equipment replicas and plastic model kits under the AMT and MPC brand names.