Home / Knowledge / News / Fashion / Inditex to acquire Zara Russia for €41.5m

Inditex to acquire Zara Russia for €41.5m

Jan '06
Industria de Diseno Textil SA (Inditex) has reached an agreement with the Finnish retailing Group Stockmann to buy its 100 percent stake in Zara Russia. The purchase price is €41.5 million minus debt. This company is currently in charge of operating the Zara chain of stores in Russia under the franchise agreement subscribed between Inditex and Stockmann.

The final agreement is expected to be reached by May 31st 2006, subject to the approval of the Russian Antitrust Authorities and further to the usual due diligence process.

At present, Zara has six outlets in Russia, all of them in the Moscow area and seven more are expected in 2006. Expansion will continue both in Moscow and in the rest of Russia, which is seen as a high potential market.

Isla, Deputy Chairman and CEO of Inditex, has expressed his satisfaction at having reached the agreement and has declared that "these are arguably, very good news, that will allow the Group, not only to increase Zara's expansion, with the launching of seven new stores in 2006, but also to accelerate the pace of the other formats of the Group in Russia through this new subsidiary."

Inditex began operating in Russia in 2003, through a franchise agreement subscribed with Stockmann, the first European retailer to enter the Russian market. Stockmann is also Zara's franchisee in Finland.

After the opening in February 2003 of the first Zara store at Mega Mall in Moscow, the chain has launched two new stores in 2004 and three in 2005, among them a flagship store located in Tverskaia Street, central Moscow, which opened in June 2005.

Inditex SA is one of the worlds largest fashion distributors, with eight sales formats -Zara, Pull and Bear, Massimo Dutti, Bershka, Stradivarius, Oysho, Zara Home y Kiddy's Class- boasting 2.693 stores in 61 countries.

Inditex SA

Must ReadView All

Pic: Dong Nhat Huy / Shutterstock.com

Apparel/Garments | On 20th Apr 2021

New guidance for Vietnam's apparel and footwear industry

The Australian Human Rights Commission has released new human rights...

Pic: Shutterstock

Textiles | On 20th Apr 2021

Egypt ready for world's largest textile factory by March 2022

Egypt is going full throttle with the construction of a textiles...

Pic: I Love Coffee dot Today / Shutterstock.com

Apparel/Garments | On 20th Apr 2021

COVID-19 lockdown halts garment production in parts of Cambodia

A 14-day lockdown imposed to curb the spread of COVID-19 pandemic has ...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

We are staring at livelihood crisis for weavers

Textile Industry, Head honchos

Textile Industry
Head honchos

Value of 'Made in India' should get more importance

Textile Industry, Head honchos

Textile Industry
Head honchos

Good tidings expected for textile industry

Siddhant Sinha,

Siddhant Sinha

Set up by Pradeep Sinha, a graduate engineer from Manipal Institute of...

David Guiho,

David Guiho

Headquartered in Apt, South of France, Delta Plus designs, manufactures...

Emmi Berlin,

Emmi Berlin

With the support of the first investors - Finland's Technical Research...

Sameer Sonkusale & Rachel Owyeung, Tufts University

Sameer Sonkusale & Rachel Owyeung
Tufts University

A team at the Tufts University in Massachusetts was recently in news for...

Daniel Kaye, RocketLife

Daniel Kaye

<div>RocketLife, an award-winning developer of breakthrough visual...

Karan Bose, Hula Global

Karan Bose
Hula Global

Hula Global, a leading isolation gown manufacturer in India, has been...

Anjali Bhaskar, Samatvam

Anjali Bhaskar

Anjali Bhaskar has an experience of 12 years in the fashion industry. She...

Abhishek Bajaj & Samiksha Bajaj, Samshek

Abhishek Bajaj & Samiksha Bajaj

Samshek is a fashion forward tech brand which combines digital experience...

Sailesh Singhania, Sailesh Singhania Label

Sailesh Singhania
Sailesh Singhania Label

The Sailesh Singhania label was created to promote handwoven sarees and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

April 2021

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

Advanced Search