MOSCOW, Russia — US discount store operator TJX Companies Inc has acquired a 25 percent stake in Russian low-cost apparel retailer Familia for $225 million, the Russian company said in a statement on Tuesday.
Discount retailers have flourished in Russia as sanctions and a decline in global prices for oil, Russia's most important export, dealt a blow to the rouble and consumer spending.
Familia, which has more than 275 stores in Russia selling clothes, shoes, accessories and household goods, enjoyed 24 percent turnover growth in the first nine months of 2019 compared with the same period of 2018, with like-for-like sales rising 7 percent.
It said the market has significant potential for further growth.
TJX, the owner of T.J. Maxx and Marshalls stores, has the right to elect one representative to Familia's board, Familia said, adding that its founders, along with Baring Vostok and Goldman Sachs remained shareholders of the company and were committed to its long-term growth.
By Anton Kolodyazhnyy and Maria Kiselyova; editors: Tom Balmforth and Kirsten Donovan.