Russian investment firm AFK Sistema has refused to buy a stake in Melon Fashion Group (MFG; Zarina, befree, Love Republic and Sela brands) from Sweden’s Eastnine and East Capital Holding AB, as well as from a group of private investors. Eastnine will look for new buyers.
The deal was terminated by mutual consent because the terms of the transaction were honored to the end, the Swedish company said in a statement.
- Melon Fashion Group was founded in 2005. It owns the brands Zarina, befree, Love Republic and Sela. As of the end of 2021, the company operated 845 stores in Russia, Armenia, and Belarus.
- Last fall, AFK Sistema agreed to buy a 47.7% stake for 15.8 billion rubles. The deal was expected to close by the end of 2022. In December, Eastnine announced that, subject to the fulfillment of all remaining conditions, the deal could be completed during the first quarter of 2023, however this did not happen.
Author:
karina pardaeva
Source: RB
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