Costco Wholesale Corp. is buying the 50 percent stake held by Controladora Comercial Mexicana SAB in Costco's Mexican division for about $760.4 million, the companies announced Thursday.

Costco Wholesale and Controladora have each had a 50 percent interest in Costco de México SA de CV, which was run by Costco Wholesale.

At the same time, Costco Mexico declared a dividend of approximately $340.9 million, which will be split evenly between a Costco Wholesale subsidiary and Controladora.

Costco Wholesale said it will use its share of the dividend along with cash on hand and investment balances to pay for the acquisition.

Controladora said it will use its share of the dividend along with money it receives from the buyout to reduce its debt.

Costco Mexico CEO Jaime Gonzalez Solana will remain in the post and Controladora Chairman Guillermo González Nova and CEO Carlos González Zabalegui will continue as board members for the company.

The deal still needs the approval of Controladora shareholders and the Mexican Federal Competition Commission.

Costco Wholesale, based in Issaquah, currently runs 602 warehouses, including 435 in the United States and Puerto Rico, 82 in Canada, 32 in Mexico, 22 in the United Kingdom, 13 in Japan, eight in Taiwan, seven in Korea and three in Australia.

Its shares finished at $87.43 on Wednesday. They have traded in a 52-week range of $70.22 to $92.10 per share.