The Russian government has approved a deal between Zara owner Inditex company, and a UAE-based buyer allowing the former to sell its Russian business to UAE investors. The new owner is expected to open closed Inditex stores under new brand names.
Inditex like most other European brands shuttered over 500 of its Russian stores after Moscow sent troops into Ukraine. The global brand agreed to sell these in October. Despite closure of its stores the Inditex brands are staying alive though at a lower level through online sellers.
The company earlier disclosed that it has agreed to transfer 245 of its 514 shops to UAE-based Daher Group. The others it stated would close. Inditex further stated the buyer would operate with new brands that have nothing to do with Inditex.
Russia’s industry and trade ministry confirmed that it has approved on March 30, the sale of 100 percent of shares Inditex. The buyers of Inditex’s business, including Zara shops, in Russia was Fashion and More Management DMCC, with an office in one of the friendly countries.
Fashion and More Management DMCC was registered in the DMCC (Dubai Multi Commodities Center) register of companies on Jan. 25. Its licence manager is Hassan Ghaleb Daher. The price of the deal has not been revealed.
Inditex Group will hand over all its retail sites in Russia to the new owners. The stores will open under new names: MAAG, DUB, ECRU, VILET, according to the ministry.
UAE-Based Buyer acquires Inditex’s Russian Business after Moscow Approval
