>>Popular US clothing brand Gues...
At the end of 2015, the parties signed a "put option" agreement that granted Shikulov the right to sell his 30% stake.
In an uncommon deal for the Russian fashion business, the American apparel giant Guess has bought back its investment from its Russian partner. The apparel producer and retailer allegedly paid local partner Vyacheslav Shikulov € 8 million (US $ 8.5 million) to reclaim its 30% ownership after the US Treasury Department authorized the deal and merged all of its operations in Russia. At the end of 2015, the parties signed a "put option" agreement that granted Shikulov the right to sell his 30% stake in a local business and obliged the American company to acquire it by December 31, 2025.
Shikulov accepted the decision in November 2022, and Guess thereafter made a buyback request to the Office of Foreign Assets Control (OFAC) of the US Department of the Treasury. Experts in the area observed that the bulk of foreign enterprises leaving Russia are aiming to sell their assets to domestic buyers, making the US clothing giant's behavior uncommon given the status of the market. They suggested that the acquisition might be a sign of the retailer's concerns about maintaining its business in Russia. In regards to losses, Japanese casual clothing company Uniqlo decided to sell the majority of its shops in Russia earlier this month (May 2023) after experiencing multi-million-dollar losses.