Turkish shoe retailer FLO Magazacilik plans to buy over 100 stores owned by fitness brand Reebok in Russia as Western companies rush to comply with sanctions over the Ukraine conflict, says Mehmet Ziylan, Chairman. Ziylan says, though FLO currently makes wholesale sales in Russia, it does not have own stores there. The new acquisition is likely to face resistance owing to Russian firms and countries not involved in Western sanctions snapping up prized assets in the country as Western companies rush to comply with sanctions over the Ukraine conflict.
About investing in Russia when many international brands have left the country, Ziylan says the company will follow Turkish government's policy on the issue. Last month Anheuser-Busch InBev announced plans to exit Russia by selling its interest in a joint venture with Turkish brewer Anadolu Efes that operates in Russia and Ukraine. and plans to take a $1.1 billion charge as a result.
