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Pizza firm DP Eurasia considers divestment of Russian business
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(Reuters) -DP Eurasia, which runs the Domino’s Pizza brand in Turkey and Russia, said on Wednesday it was considering options for its Russian operations, including a divestment.
(Reuters) -DP Eurasia, which runs the Domino’s Pizza brand in Turkey and Russia, said on Wednesday it was considering options for its Russian operations, including a divestment.
It added the work on a potential transaction was ongoing and there could be no certainty as to the outcome.
“DP Eurasia is evaluating its presence in Russia, the impact of sanctions and its continuing ability to serve its customers in Russia,” it said, responding to market speculation regarding an exit from its Russian operations.
“Consequently, the company is considering various options which may include a divestment of its Russian operations,” it said.
While many Western companies exited Russia after Moscow’s invasion of Ukraine began on Feb. 24, DP Eurasia said in April it planned to stay, but would limit investment there.
The London-listed company said in October it would keep optimising its store count in Russia and that it had 171 stores in the country at the end of October, compared to 192 a year earlier.
(Reporting by Anna Pruchnicka, Editing by Kirsten Donovan)
Divestment is the process of selling off a subsidiary or business unit. Companies may choose to divest for various reasons, including financial performance, strategic focus, or regulatory compliance.
A potential transaction refers to a deal or agreement that is being considered but has not yet been finalized. It often involves negotiations and assessments before completion.
Store count refers to the total number of retail locations a company operates. It is an important metric for assessing a company's market presence and growth strategy.
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