Kesko sells seven store sites in Estonia and Latvia to UAB Baltic Retail Properties

Helsinki, 2017-May-26 — /EPR Retail News/ — Kesko has sold seven store sites used by Kesko Senukai in Estonia and Latvia to the property investment company UAB Baltic Retail Properties. At the same time, Kesko has acquired a 10% shareholding in the property investment company.

UAB Baltic Retail Properties’ main shareholder is CPA:17 – Global, a property investment fund managed by the US based W. P. Carey Inc., with a 70% ownership interest. The three owners of the property investment company remain in the company as minor shareholders with a total shareholding of 20%.

UAB Baltic Retail Properties has already earlier been an important lessor to Kesko Senukai in Lithuania. In connection with the arrangement, Kesko Senukai has once again leased store sites, which the investment company had already previously owned, as well as new store sites, which have now been transferred to the investment company for its use on 15-year leases with extension options.

The entire deal is valued at approximately €174 million. The selling price of the properties owned by Kesko was €64 million, generating a profit of €50 million on the divestment. Kesko Group’s net cash inflow from the arrangement before tax is approximately €58 million. Kesko Group leases a total of 19 store sites from the property investment company and as a result of the arrangement, lease liabilities increased by approximately €124 million. The arrangement will not have any significant impact on profit.

Kesko Senukai is the Kesko Group company responsible for building and home improvement trade operations in the Baltics and Belarus. Kesko Senukai is the clear market leader in the in the region with 54 stores. In 2016, Kesko Senukai’s sales were close to €600 million.

Kesko and K-retailers form K Group, whose sales total over €13 billion. K Group is the third largest retail operator in Northern Europe and it employs approximately 45,000 people. Kesko operates in the grocery trade, the building and technical trade and the car trade. Its divisions and chains act in close cooperation with retailer entrepreneurs and other partners. Kesko’s net sales are €10 billion and it employs approximately 30,000 people. Kesko has over 2,000 stores engaged in chain operations in Finland, Sweden, Norway, Estonia, Latvia, Lithuania, Russia, Belarus and Poland. Kesko is a listed company and its shares are listed on Nasdaq Helsinki. The company’s domicile and main business premises are in Helsinki. Kesko is the world’s most responsible trading sector company (The Global 100 Most Sustainable Corporations in the World). www.kesko.fi

Further information:

Jukka Erlund
Executive Vice President
Chief Financial Officer
jukka.erlund@kesko.fi
tel. +358 105 322 113

Riikka Toivonen
Head of Financial Communications
riikka.toivonen@kesko.fi
tel. +358 105 323 495

Source: Kesko Corporation

LATVIA: Apranga Group opens newly-renovated multibrand concept CITY in Spice shopping mall in Riga

LATVIA: Apranga Group opens newly-renovated multibrand concept CITY in Spice shopping mall in Riga

 

Vilnius, Lithuania, 2017-Mar-21 — /EPR Retail News/ — On March 17th Apranga Group, the largest fashion retailer in the Baltics, opened newly-renovated multibrand concept CITY in the shopping mall Spice in Riga. Store covers 529 sq. m. gross area and reflects the newest architectural concept.

“Latvia was the first Apranga Group foreign market, which we entered with big potential 14 years ago. At the moment we operates 47 stores in this country and see potential to grow in Latvian market, expand with new and already existing stores. Our main aim is to tailor our stores to growing customers’ needs and this new concept is the best example of that”, – Rimantas Perveneckas, the General Manager of Apranga Group, says.

In this new concept CITY store luxoriuos elegance is closely intertwined with the feeling of modernity. The use of neutral, earth colours, natural stone floors, the perfect combination of glass and metal gives an aesthetic look and reflect the latest worldwide known architectural trends of modern elegance.

CITY store concept is dedicated to the independent, cosmopolitan, urban customer, who likes modern classics with light touch of fashion.This newly renovated CITY in Spice offers the wide range of well-known European brands of clothes and accessories, which are already tested by time and customers.

There will be presented collections of Strellson, Joop, Sand, Emme, Betty Barclay, Piere Cardin, Ted Baker, Gerard Darel, Roy Robson. Customer also will find extended collection of bags and accessories by Coccinelle, Furla and Michael Kors. Store will also bring new brands Antonelli Firenze from Italy and Lithuanian designer brand D.Efect into Latvian market.

Currently Apranga Group operates a chain of 183 stores in the Baltic States: 107 in Lithuania, 47 in Latvia and 29 in Estonia. At the level of monobrand stores Apranga Group cooperates with a number of internationally known brands like Burberry, Emporio Armani, Armani Jeans, Ermenegildo Zegna, Hugo Boss, Max Mara, Weekend MaxMara, Zara, Zara Home, Massimo Dutti, Bershka, Pull and Bear, Stradivarius, Aldo, Mango, s.Oliver, Karen Millen and others. In addition, the multibrand concepts Apranga, Aprangos galerija, Moskito, City, Mados Linija, Nude are developed in Lithuania, Latvia and Estonia. Apranga group has partnership with approximately 200 brands and suppliers. Shares of Apranga are listed on Baltic equity list on the NASDAQ OMX Vilnius Stock Exchange.

CONTACT FOR INVESTORS:
Saulius Bačauskas
APB Apranga Finance and Economics Director

Tel. +370 5 2390 808, +370 5 2390 843
Fax. +370 5 2390 800
E-mail: s.bacauskas@apranga.lt

Source: Apranga

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