Turkish Retailer Eyes Reebok’s Business In Russia
Turkish footwear retailer FLO is looking to acquire more than 100 Reebok stores in Russia, according to FLO Chairman Mehmet Ziylan.
The retailer’s interest in acquiring the stores comes at a time of mass exodus of Western brands from Russia in compliance with sanctions that have been placed on the country.
“Our country does not have an embargo there. We will continue as long as our country does not tell us to stop,” Ziylan said.
While Russian daily Kommersant cited that the deal had already been signed off and that more than 100 Reebok outlet stores were now in control of the Turkish retailer, Ziylan noted that talks were still happening between the two companies and things were yet to be finalized.
The deal is projected to be valued at $24.8 million, and it will help FLO expand its business in Russia from wholesale to physical retail.
The sale of Reebok stores to FLO is likely among the first in a series of upcoming deals between Western brands and companies from countries that are looking to snap prized retail assets in the country.
Last month, Anheuser-Busch InBev also announced its plan to sell its share in a joint venture with Turkish brewer Anadolu Efes. McDonald’s is also planning to permanently exit Russia.
Originally published at https://retailbum.com on May 17, 2022.