Inditex, which owns brands including Zara, Bershka and Pull & Bear, has agreed the sale of its Russian arm to Daher Group.
The fashion giant will sell its Russian business including its stores to the group subject to government approval.
The deal will preserve a “substantial number” of jobs previously generated by Inditex in Russia.
It includes the transfer of the majority of Inditex’s leases for stores, which will then go on to house other brands owned by Daher Group.
The move marks the end of Inditex’s operations in Russia, following its decision to pause sales there on March 5 due to Russia’s invasion of Ukraine.
Inditex has made a €216m provision for the winding down of its operations to cover the impact to the wider business.
The retailer said that should the situation change, a collaboration agreement between Inditex and Daher Group could be possible through franchising.
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