Russian govt commission permits Decathlon to sell several local stores

MOSCOW. May 12 (Interfax) - The subcommittee of the Russian government commission for overseeing foreign investment has approved the application of France's Decathlon sporting goods retailer to sell several stores in a number of Russia's regions, the Industry and Trade Ministry told Interfax.

The sale concerns assets that are not strategic for the company, the ministry said.

Decathlon intends to sell five stores in regions that have been less profitable compared to the rest, the Izvestia publication wrote, citing a source. Meantime, the chain is increasing its presence in large areas, having bought two sites last year, for example, the source said.

It became known in January that Decathlon had begun searching for a buyer for its business in Russia. Citing sources, RBC wrote that the retailer intended to sell the entire business, though could consider the possibility of selling real estate separately. The retailer in June 2022 closed all its stores in Russia, with the company having previously announced the suspension of deliveries.

Oktoblu LLC, Decathlon's main operating subsidiary in Russia, boosted revenue 31% to 28.57 billion rubles in 2021, and net profit surged 3.6-fold to 1.48 billion rubles.