THE ST. PETERSBURG SHOE RETAILER WENT BANKRUPT DUE TO A BILLION-DOLLAR DEBT

A few years ago, the business of Paolo Conte and Mega-Shoe seemed quite stable. In 2020, Mega-Shuz LLC received 185 million in revenue, Delovoy Peterburg edition clarifies. The firm "Paolo Conte" (the main enterprise in the chain of legal entities of the shoe holding) then received 346 million rubles.

However, a year later, the financial condition of the shoe retail has shaken. Experts call the consequences of the pandemic one of the main reasons. The head of the company, Andrey Rotar, died suddenly, and the stores began to close. Consumer demand migrated to the online space, increasing the already high costs of maintaining trading platforms.

As Kommersant notes, one of the group's firms (Paolo Conte) borrowed about a billion from the bank, while other companies (including Mega-Shuz) acted as guarantors for the loan. As a result, numerous insolvency proceedings were initiated against legal entities.

The Mega-Shuz company was transferred by a court decision to the bankruptcy management procedure. The arbitration entrusted it to Victoria Kuzmina, representing the SRO "Vozrozhdenie".

Photo: businessmens.ru