Notification on material event
Utenos Trikotažas AB sold its subsidiary in Latvia
Utenos Trikotažas, part of the SBA Group, sold its Latvian subsidiary SIA Utenas Trikotāža. A private individual who has acquired the company plans to open the first specialized Utenos Trikotažas store in Daugavpils, which will operate on a franchise basis.
“Over the past few years, we have developed the franchise package of Utenos Trikotažas. We have modernized the brand in accordance with international market standards, extensively changed the concept of the interior of the shops, improved the business model and the marketing package. We are ready to apply our experience to the development of stores in neighbouring Latvia,” Petras Jašinskas, Managing Director of Utenos Trikotažas, said. According to P. Jašinskas, the franchise model for the development of the chain of stores was chosen for several fundamental reasons: faster development opportunities and the cost-effectiveness of business administration. “The chain of our franchise stores in Lithuania is steadily expanding. Since we export most of our production and the operations of the parent company are focused on contract manufacturing, the franchise model helps us distribute our resources efficiently and ensure the sustainable development of the chain of stores,” Jašinskas added. Currently there are 18 Utenos Trikotažas brand stores in Lithuania and the majority operate on a franchise basis.
More information: Živilė Jonaitytė CFO, Utenos Trikotažas AB Mobile: +370 686 51938 Email: firstname.lastname@example.org