LPP is the owner of Marek Reserved, House, Cropp, Mohito or Sinsay. The PFSA imposed a penalty on the company because of deficiencies in the matter of providing information on the details of the sale of Russian business to a Chinese consortium. The company informed about the decision in a statement, emphasizing that the penalty was imposed in conditions of “extraordinary softening”.
The PFSA accuses the Polish fashion giant that the information obligation is not fulfilled. It is about the lack of public disclosure of confidential information regarding the key conditions and structure of the sales transaction of the Russian company Re Trading OOO. This information was to be known on May 10, 2022.
In April 2025, LPP published details, counting on a settlement with the Commission. Despite this, the supervisor did not withdraw from imposing a penalty.
Three weeks ago, i.e. at the beginning of July, the LPP company announced that it decided to accept the system of the CNF system, providing for the imposition of PLN 1.8 million on the company.
LPP withdrew from Russia in the shadow of controversy
The LPP decision to withdraw from the Russian market was made after the invasion of Ukraine in February 2022. The company, operating in Russia for over 20 years, initially suspended operations in March 2022, closing the salons at the end of the month. In May, the sale of Russian companies to the Chinese consortium was announced, and the transaction was finalized on June 30, 2022.
However, in March 2024, the American company Hindenburg Research accused LPP of a fake business sales in Russia. The report caused a decrease in the company's shares and speculation that the Polish giant is still controlling its activities in Russia through other entities.
LPP: Strong position despite the turmoil
Despite the controversy around the Russian business, LPP remains one of the leaders of the clothing market. In 2024, the company reached a net profit of PLN 1.7 billion, and the first quarter of 2025 ended with sales worth PLN 5 billion, which means an increase of 24 percent. year on year. The e-commerce segment is also developing dynamically, which recorded an increase of 25 percent. at the same time. LPP has already opened 136 new stores and is planning to launch another 300.
Source: PAP, Interia
