Media: Western luxury brands returning to Russian market
According to reports, Western businesses that initially exited Russia due to sanctions are now extending their trademarks and slowly making their return. For the complete article, visit RT.com.
TroibNews 
Stores of the German fashion brand Hugo Boss are set to reopen in Russia either this month or in September following their acquisition by retailer Stockmann, RIA Novosti reports, citing the Union of Shopping Centers for new brands. Other Western brands are also extending their trademarks in the country with an eye on resuming operations.
Hugo Boss ceased its operations in Russia in 2022 as part of a broader exodus of Western brands in response to sanctions imposed on Moscow due to the conflict in Ukraine. The German company also halted its e-commerce activities and stopped advertising within Russia.
“The new Hugo Boss will not be any different, everything will remain the same, without changes. All 19 stores will open at the same time ...” Natalia Kermedchieva, vice president of the Union of Shopping Centers for new brands, informed RIA on Monday, adding that the branding of the stores will remain unchanged.
The legal entity will be renamed from ‘Hugo Boss Rus’ to ‘Link Fashion’ at the request of the seller, she noted.
Reports had previously indicated that Hugo Boss sold its Russian business to its wholesale partner Stockmann for an undisclosed amount. Neither company has disclosed the financial details of the transaction. Companies exiting Russia are mandated to sell their assets at a 50% discount and must obtain government approval for the sale, along with paying a fee to the Russian treasury.
Russian authorities approved the sale of Hugo Boss in April. Corporate filings indicate that the deal was finalized on August 2, making Stockmann JSC the owner of 100% of Hugo Boss Rus, valued nominally at 40 million rubles ($466,217). Stockmann operates independently in Russia, distinct from its former Finnish owner.
Almost a third of Western retailers have exited the Russian market, reports suggest, following the imposition of Western sanctions over the Ukraine conflict.
According to reports, French luxury brand Christian Dior has applied to Russia’s intellectual property service, Rospatent, to register new trademarks such as Dior, Dioramour, and Gem Dior. The company also filed for a logo featuring a stylized image of the letters C and D.
Earlier in the year, American beverage giant Coca-Cola and US coffeehouse chain Starbucks also filed applications with Rospatent to register several trademarks in Russia.
Additionally, Swedish multinational IKEA has reportedly extended its trademark rights in Russia for another ten years.
Alejandro Jose Martinez contributed to this report for TROIB News
Hugo Boss ceased its operations in Russia in 2022 as part of a broader exodus of Western brands in response to sanctions imposed on Moscow due to the conflict in Ukraine. The German company also halted its e-commerce activities and stopped advertising within Russia.
“The new Hugo Boss will not be any different, everything will remain the same, without changes. All 19 stores will open at the same time ...” Natalia Kermedchieva, vice president of the Union of Shopping Centers for new brands, informed RIA on Monday, adding that the branding of the stores will remain unchanged.
The legal entity will be renamed from ‘Hugo Boss Rus’ to ‘Link Fashion’ at the request of the seller, she noted.
Reports had previously indicated that Hugo Boss sold its Russian business to its wholesale partner Stockmann for an undisclosed amount. Neither company has disclosed the financial details of the transaction. Companies exiting Russia are mandated to sell their assets at a 50% discount and must obtain government approval for the sale, along with paying a fee to the Russian treasury.
Russian authorities approved the sale of Hugo Boss in April. Corporate filings indicate that the deal was finalized on August 2, making Stockmann JSC the owner of 100% of Hugo Boss Rus, valued nominally at 40 million rubles ($466,217). Stockmann operates independently in Russia, distinct from its former Finnish owner.
Almost a third of Western retailers have exited the Russian market, reports suggest, following the imposition of Western sanctions over the Ukraine conflict.
According to reports, French luxury brand Christian Dior has applied to Russia’s intellectual property service, Rospatent, to register new trademarks such as Dior, Dioramour, and Gem Dior. The company also filed for a logo featuring a stylized image of the letters C and D.
Earlier in the year, American beverage giant Coca-Cola and US coffeehouse chain Starbucks also filed applications with Rospatent to register several trademarks in Russia.
Additionally, Swedish multinational IKEA has reportedly extended its trademark rights in Russia for another ten years.
Alejandro Jose Martinez contributed to this report for TROIB News
