Branson sells French retail chain

Richard Branson is getting out of France

Richard Branson's Virgin Group has agreed to sell its 16 French stores, and the exclusive rights to the Virgin brand name in six European countries, to French conglomerate Lagardere.

The French firm, whose interests range from media to defence, said it paid less than 1bn French francs (£94m, $134m).

Lagardere will combine the 14 Virgin Megastores, and two Virgin railway station outlets, into its Extrapole music and bookshop chain, which will become France's second biggest.

Extrapole will be rebranded under the Virgin name.

In addition to its French chain, Lagardere has bought the right to use the Virgin brand in Belgium, Luxembourg, Switzerland, Portugal and Spain.

Deal makers

Over the last few weeks, Virgin has done a series of deals aimed at raising cash.

Most recently, the firm sold its 25% stake in mortgage brokerage Virgin One to Royal Bank of Scotland for £45m.

RBS, which already owns half of Virgin One, is also buying the 25% stake owned by Australia's AMP, giving it complete control of the venture.

Virgin Group has denied it is raising cash to support other parts of its empire.

Instead, it has repeatedly said that it is planning to invest in further roll-out of the Virgin brand.

During his career, Mr Branson has been associated with diverse products, ranging from soft drinks and bridal wear to air travel and a failed bid to operate the UK National Lottery.