Mulberry Group PLC (LON:MUL) announced it is terminating the lease of its store in Paris earlier than planned and will reopen a shop in the city once international tourism restarts.
The luxury fashion designer said it will receive £13.2mln once it leaves the site, which is located in Rue Saint Honoré, renowned for its high-end shops.
It added that the net proceeds after tax, expected to be around £10.8mln, will strengthen its cash position and support other investment opportunities.
As at 27 March, the book value of the property in the company's accounts was £7.9mln.
The AIM-listed firm plans to move out in September.
The new site, whenever it may open again, will be in a location that supports Mulberry’s “omnichannel approach and optimises its customer-centric retail experience”.
Shares dipped 3% to 291p on Tuesday morning.