Advance Capital is pleased to announce the completion of the merger of two leading mono-brand retail networks of the Nike brand in the Russian Federation, operated by A3 Retail Group and Inventive Retail Group. Following the merger, the combined company will operate 31 Nike stores.
A3 Retail Group is a fast-growing retail company with a portfolio that includes brands such as Nike, VANS, The North Face, as well as the STRIDE running store. The group operates 34 stores across Moscow, Saint Petersburg, Rostov-on-Don, Krasnodar, Sochi, Nizhny Novgorod, and Yekaterinburg.
Inventive Retail Group is a retail group uniting chains of specialized stores selling products of leading global manufacturers of consumer electronics, children’s goods, and sportswear. The core brands of Inventive Retail Group include Apple, Samsung, Sony, LEGO, and Nike. The group is part of the LANIT Group.
The deal is expected to significantly enhance the operational efficiency of the combined business through the realization of synergies.
Aram Davtyan, Founder and Chief Executive Officer at A3 Retail Group:
“The deal with Inventive Retail Group is a natural continuation of A3 Sport’s successful growth over the past 13 years. I am pleased that we are entering a new stage of development by combining the businesses of two such strong companies, and I am confident that this will lead to further success.”
Tikhon Smykov, Chief Executive Officer at Inventive Retail Group:
“The sports retail business faced some of the greatest challenges during the pandemic; however, I am convinced that this does not change the long-term prospects of the sports market in Russia. We are happy to invest further in this segment. Nike is one of our priority partners, and we share the company’s values and approach and plan to continue our productive cooperation.”
Maxim Uryash, Partner and Executive Director at Advance Capital:
“The combination of these two successful retail networks is a logical step toward creating one of the largest and most efficient companies in the Russian sportswear market. Despite the pandemic, this deal has become a landmark transaction for the Russian fashion retail segment this year. We are pleased to have been part of it and to have assisted the shareholders of A3 Retail Group in its successful execution.”
Advance Capital acted as the exclusive financial advisor to A3 Retail Group.
The deal value is not disclosed.