Consolidation of Russian retail market
Last year 2016 was not an easy one for retail sector; due to the pressure of federal retailers and low market demand, many regional players had to exit the market, including 3 food retailers from Yekaterinburg: Zvezdniy, 7 Kluchey and Picnic. Moreover, Alexander Zanadvorov, the owner of 7 Continent, decided to shift from retail activity towards real estate. In 2015, 7 Continent was the 16th largest Russian retailer with 156 stores and one of top-100 largest private businesses. Now Lenta will rent 14 hypermarkets; X5 Groutp will rent 50 discounters; Azbuka Vkusa – 18 supermarkets. 37 stores along with the brand 7 Continent will pass over to Sladkay Zhizn (Sweet Life) Holding, former partner of the retailer and franchisee of Spar chain.