Turkish Fashion Retailer Koton Closes All Stores in Ukraine – Retailers Association

Turkish fashion retailer Koton, which has been operating in the Ukrainian market for several years, has announced the closure of its two stores. This decision was revealed by the Retailers Association of Ukraine, highlighting that the company no longer plans to conduct business in Ukraine.

According to the association's data, new stores for EVA Beauty and Marathon are planned to open at the locations of the closed Koton stores, which are situated in the capital's Lavina Mall. This indicates that the market continues to adapt to new conditions and fill the vacuum left by Koton's exit.

It is noteworthy that Koton's first store opened in Kyiv in 2018, and the company had ambitious plans for expanding its network. Initially, there were plans to open up to 15 outlets in various cities across Ukraine, including major cities such as Dnipro, Zaporizhzhia, Odesa, Kharkiv, and Lviv. However, these plans were not realized, and the company has decided to scale back its operations.

According to the analytical system YouControl, the ultimate beneficiaries of Koton Textile LLC are Turkish citizens Yilmaz and Gulden Yilmaz. This indicates that the company has close ties to Turkish business, which may have influenced its decision to leave the Ukrainian market.

The financial results of the company's operations also indicate the difficulties it faced. For the year ending 2025, Koton's revenue decreased by 20%, reaching 60.7 million hryvnias, while the company's net loss increased by 16.6%, amounting to 43.2 million hryvnias. These figures suggest that the business was unable to adapt to the conditions of the Ukrainian market, resulting in financial losses.

The Koton brand was founded in 1988 in Istanbul and is currently represented in over 70 countries worldwide. According to information posted on the company's official website, the network comprises over 450 stores. Since 2025, Koton's shares have been listed on the Istanbul Stock Exchange, underscoring its international status and influence.

It is important to note that Koton is not the only Turkish retailer to leave the Ukrainian market. Other major Turkish chains, such as English Home, DeFacto, and FLO, have also exited Ukraine. This reflects a broader trend of foreign retailers withdrawing from the Ukrainian market, which may be linked to the economic and political challenges facing businesses in Ukraine.