End of an era: Well-known sports chain Hervis pulls out of Hungary and Romania

A major shake-up is underway in Central and Eastern Europe’s sports retail market, as Austrian-owned Hervis announced it will sell its Hungarian and Romanian subsidiaries to the UK’s Frasers Group.

The move marks the chain’s full withdrawal from two key markets where, according to the company, consumer preferences have shifted towards fashion rather than sport.

Hervis Sport- und Modegesellschaft confirmed on Tuesday that all 29 Hungarian stores and 49 Romanian outlets – along with their employees – will be transferred to Frasers Group once competition authorities in both countries approve the deal. The purchase price has not been disclosed.

According to Forbes.hu, Frasers Group, best known for its Sports Direct stores and for owning brands such as Everlast and Lonsdale, is significantly strengthening its presence in the region with the acquisition. The company has been steadily expanding in Hungary, where its local operation recently posted rising revenues and a healthy profit.

“Fashion-oriented markets” behind exit decision

Ulrich Hanfeld, CEO of Hervis, said the strategic goal is to turn the chain into a “modern, sports-focused specialist retailer” with a clear product strategy. By contrast, he argued, the “fashion-oriented markets in Hungary and Romania have drifted away from our core business”.

The sale will allow Hervis to concentrate on its remaining Austrian, Slovenian and Croatian markets, which are not affected by the transaction.

Industry observers note that the withdrawal does not come as a surprise. Hervis has struggled for years in Hungary, facing declining turnover, mounting losses and store closures. The chain’s group-level financial results underline those difficulties: in 2024, Hervis recorded a EUR 43 million loss.

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Hungary’s local subsidiary, Hervis Kft., has been in particularly poor shape. After peaking in 2022, revenue dropped from HUF 18.4 billion to 15.3 billion within two years. The company has not posted a positive operating result since 2015, and by 2024 its equity had fallen into the negative range.