The CCC Group has sold its subsidiary in Russia, the Polish company announced in its quarterly report. All shares were sold for half a million rubles.
W Russia The CCC Group operated through 39 stores as part of a subsidiary. “Following Russia’s unjustified and unprovoked aggression on Ukrainethe management board decided to discontinue supplies to the Russian market and to suspend the development of CCC in Russia by discontinuing expansion plans and consistently limiting the planned operating activities “- the report wrote.” Ultimately, the subsidiary in Russia was sold outside the CCC Group after the balance sheet date, May 17 2022 “- added.
The report recalled that on April 6 this year. a conditional 100% sale contract was signed shares in the Russian company to an entity outside the CCC Group for the price of 0.5 million Russian rubles. “On May 17, 2022, due to the fulfillment of the conditions precedent, the shares were sold outside the CCC Group. The Group estimates that on this transaction it will realize a loss of approximately PLN 40.0 million” – we read.
– Our business in Russia has been legally and operationally terminated. Today, a new local investor, operating under its own brand, is responsible for the current locations of CCC stores, informed Wirtualnemedia.pl Marta Rzetelska, senior PR manager at the CCC Group.
LPP is leaving Russia
Last week, LPP announced that, based on the review of offers and talks with potential buyers, the management board decided to sell RE Trading OOO, a group company registered in Russia, to a Chinese consortium. As it was added, the consequence of the concluded transaction will be the termination of the LPP Group’s operations in Russia after 20 years of presence on this market.
“Under the agreement of the parties to the transaction, the buyer will not acquire the rights to use the names and trademarks of clothing brands owned by LPP SA, but will acquire the right to sell all goods belonging to the Russian company” – it was explained.
LPP is a Polish clothing manufacturer managing the following brands: Reserved, Sinsay, House, Cropp and Mohito. LPP spokeswoman Monika Wszeborowska previously informed the Polish Press Agency that the Ukrainian market is roughly responsible for 6 percent, and the Russian – for 20 percent of the company’s total turnover.
Main photo source: YURI KOCHETKOV / PAP / EPA