Retailer LPP sells Russian business to Chinese consortium
MOSCOW. May 20 (Interfax) - Polish retailer and clothing manufacturer LPP Group, which owns the Reserved, Cropp, House, Mohito and Sinsay brands, has decided to sell its Russian business to a Chinese consortium.
The deal will not include the rights to use trademarks and brands owned by LPP, but the buyer will have the right to sell all the goods owned by LPP's Russian division, the company said. LPP did not specify who exactly is buying the Russian business.
The company's Moscow office said that the first stores are expected to reopen this weekend.
LPP closed all of its stores in Russia at the end of March and announced at the end of April that it had decided to sell its Russian business.
The group's Russian subsidiary, Re Trading LLC almost doubled revenue to 52.9 billion rubles in 2021 from 27.35 billion rubles in 2020, and posted a net profit of 4.86 billion rubles compared to a loss of 131.2 million rubles the previous year, company data posted in the SPARK-Interfax system showed.