Factbox: Companies sell their businesses in Russia
11/05/2022 14:37
(Updates with AmRest, Amur, Atria, Elopak, Paulig, Shell)
May 11 (Reuters) - Some Western companies have agreed to
sell their Russian assets or hand them over to local managers as
they scramble to comply with sanctions over the Ukraine conflict
and deal with threats from the Kremlin that foreign-owned assets
may be seized.
The moves, part of a broader corporate exodus from the
country, are likely to stir concerns that Russian firms and
institutions are snapping up prized assets for a bargain.
Below is a list of firms by sector that have announced plans
to sell their businesses in Russia:
AUTOMAKERS
INCHCAPE INCH.L
The British car distributor said it had agreed to sell its
Russian business to local management. The sale will result in an
exceptional non-cash loss before tax of about 240 million pounds
($297 million). urn:newsml:reuters.com:*:nL3N2WQ1IH
RENAULT RENA.PA
The French carmaker will transfer its 68% stake in Russia's
biggest carmaker Avtovaz to an auto research institute for a
symbolic one rouble, Russia said on April 27. urn:newsml:reuters.com:*:nL2N2WO310
BANKS
OTP BANK OTPB.BU
Hungary's OTP Bank, Central Europe's largest independent
lender, is under pressure from the government of Ukraine, where
the bank is also present, to sell its Russian unit, its chief
executive said on April 27. urn:newsml:reuters.com:*:nL5N2WP7NB
RAIFFEISEN BANK INTERNATIONAL RBIV.VI
Austria's RBI, one of the European banks most exposed to
Russia, has received unsolicited indications of interest for its
Russia operations, the bank's chief said on May 4. urn:newsml:reuters.com:*:nL5N2WW1D5
SOCIETE GENERALE SOGN.PA
The French lender expects to close the sale of its Rosbank
ROSB.MM unit to Russia's Interros Capital "in the coming
weeks," it said on May 5. urn:newsml:reuters.com:*:nL5N2WX3BG
It announced the sale on April 11, adding it would write off
3.1 billion euros ($3.3 billion), comprising a 2 billion-euro
hit on Rosbank's book value and the rest linked to the reversal
of rouble conversion reserves. urn:newsml:reuters.com:*:nL2N2W90AJ
ELECTRICAL COMPONENTS & EQUIPMENT
EMERSON ELECTRIC EMR.N
The diversified U.S. manufacturer said on May 4 it would
explore strategic options to divest Metran, its subsidiary in
Russia, as it exits the country. urn:newsml:reuters.com:*:nL3N2WW1LP
SCHNEIDER ELECTRIC SCHN.PA
The French electrical equipment maker will sell its
operations in Russia and Belarus to local management, the
company said on April 27, as it signed a letter of intent with
the designated buyers.
It will write off up to 300 million euros ($317 million) of
net book value and make a non-cash reversal of currency
translation estimated at 120 million euros. urn:newsml:reuters.com:*:nL5N2WP1R4
FOOD & BEVERAGES
AB INBEV ABI.BR
The brewer said on April 22 it would sell its
non-controlling stake in its Russian joint venture AB InBev
Efes. The divestiture will result in a $1.1 billion impairment
charge in the first quarter. The joint venture has 11 breweries
in Russia and three in Ukraine. urn:newsml:reuters.com:*:nL5N2WK1GY
AMREST EATP.WA
The Poland-listed restaurant operator said on May 6 it had
been unable to sell its business in Russia to the sanction-hit
investment fund VTB Capital, according to Russian media
Kommersant. AmRest is now seeking a new buyer, the newspaper
said. urn:newsml:reuters.com:*:nL5N2WY1K6
ATRIA ATRAV.HE
The Finnish food processing company said on March 7 it is
exiting its fast food business in Russia, following the
divestment of its industrial subsidiary in the country in April
2021. urn:newsml:reuters.com:*:nFWN2VA0IV
CARLSBERG CARLb.CO
The Danish brewer said on April 28 it was selling its
Russian business, with its chief executive specifying there was
good progress and "definitely" interest in it. urn:newsml:reuters.com:*:nS8N2OC053
FAZER
Finnish bakery and food service company said on April 29 it
had agreed to sell its Russian unit to Moscow bakery company
Kolomenskij Bakery and Confectionery Holding. Fazer did not
disclose the value of the transaction. urn:newsml:reuters.com:*:nL2N2WR1P2
PAULIG
The privately owned Finnish food and drink company said on
May 5 it had sold its operations in Russia to private Indian
investor Vikas Soi, after being mentioned by Russian authorities
as an example of a foreign company that could be nationalised.
It said the divesture includes unit Paulig Rus LLC and
Paulig's operations as well as its coffee roastery in Tver, but
not the Paulig brand, which will be phased out in Russia during
the coming months. urn:newsml:reuters.com:*:nL2N2WX10Z
RAISIO RAIVV.HE
The Finnish food processing company said on April 29 it had
agreed to sell its consumer business in Russia to Copacker Agro
Ltd for about 1.5 million euros ($1.6 million). As a result of
the sale, Raisio said it would recognise an estimated impairment
loss of 2.9 million euros in its Q1 earnings before interest and
taxes. urn:newsml:reuters.com:*:nL5N2WR6BP
VALIO
The Finnish dairy producer has sold its Russian business to
GK Velkom, the company said on April 26, following an earlier
threat by Russian authorities to nationalise its business there.
Valio said the transaction would take effect immediately but
gave no financial value for it. urn:newsml:reuters.com:*:nL2N2WO0OG
MINING
AMUR MINERALS CORP A7L.L
The London-listed Russian mining company announced on May 9
it proposed to sell its main Kun-Manie project for $105 million
and agreed to assign to buyer benefit of all loans owed by
Kun-Manie to Amur in consideration for $30 million. urn:newsml:reuters.com:*:nTUC8VsDN8
KINROSS K.TO
Kinross Gold Corp is selling its Russian assets to Highland
Gold Mining group of companies for a total of $680 million in
cash, the Canadian gold miner said on April 5, nearly a month
after suspending its operations in the country. urn:newsml:reuters.com:*:nL3N2W31F8
PACKAGING FIRMS
ELOPAK ELO.OL
The Norwegian supplier of carton packaging and filling
equipment is seeking a buyer for its plant in Russia, its chief
executive said on May 9. urn:newsml:reuters.com:*:nL5N2X00L6
HUHTAMAKI OYJ HUH1V.HE
The Finnish food packaging company said on April 29 it had
decided to initiate the divestiture of its operations in Russia.
urn:newsml:reuters.com:*:nASM00093L
MONDI MNDI.L
The British paper and packaging firm said on May 4 its board
had decided to divest its Russian assets, adding there could not
be any certainty on the timing and structure of any possible
transaction. urn:newsml:reuters.com:*:nL3N2WW2KE
TOBACCO
BRITISH AMERICAN TOBACCO BATS.L
The cigarette maker is in advanced talks to transfer its
Russian business to Russia's SNS Group of Companies, its
distributor, SNS said on March 18, after Moscow suggested it
could nationalise assets of foreign firms that left the country.
urn:newsml:reuters.com:*:nL2N2VL1CQ
IMPERIAL BRANDS IMB.L
The British tobacco group announced the transfer of its
Russian business to investors based in Russia on April 20,
following talks with an unidentified third party in March.
urn:newsml:reuters.com:*:nTUC5NGXGR urn:newsml:reuters.com:*:nL3N2VI1Y4
JAPAN TOBACCO 2914.T
The Japanese company said on April 28 it was considering
selling its Russian operations after suspending investment and
marketing activities in the country last month. urn:newsml:reuters.com:*:nL2N2WQ0RR
OTHERS
BRUNEL INTERNATIONAL BRUN.AS
The Dutch employment services company is in the process of
selling activities in Russia to local management, it said on
April 29, adding its net investment in the country at end-March
was 14 million euros ($14.8 million). urn:newsml:reuters.com:*:nASM0009LM
FLUGGER GROUP FLUGb.CO
The Danish paint maker said on April 8 it had initiated the
sale of its Russian and Belarusian companies, taking a 115
million Danish crowns ($16.3 million) write-down. urn:newsml:reuters.com:*:nFWN2W60G1
HENKEL HNKG_p.DE
The chief executive of the German consumer goods group said
on April 29 it could "completely halt or sell (its) Russia
business", after announcing its intention to exit the country on
April 19. urn:newsml:reuters.com:*:nS8N2VL034
HYVE HYVE.L
The British exhibitions group said on April 6 it proposed
selling its Russian business for a maximum price of 72 million
pounds ($89 million), citing warnings from customers that they
would boycott its Western events if it continued to operate in
the country as well as result of compliance and operational
challenges from Western sanctions. urn:newsml:reuters.com:*:nL3N2W414F
LPP LPPP.WA
The Polish clothing retailer said on April 28 it decided to
sell its business in Russia and is talking to potential buyers.
urn:newsml:reuters.com:*:nL2N2WQ164
MAERSK MAERSKb.CO
The Danish shipping company has found possible buyers for
its 30.75% stake in Global Ports Investments GLPRq.L , which
operates ports in Russia, it said on May 4. urn:newsml:reuters.com:*:nL2N2WW0B3
SHELL SHEL.L
The British energy and petrochemical giant announced on May
6 that negotiations were underway to sell its network of petrol
stations and lubricant plant in Russia.
It was unclear who the potential buyer was, but sources told
Reuters it would most likely be a local company. urn:newsml:reuters.com:*:nL2N2WY1MV
STORA ENSO STERV.HE
Finland's Stora Enso has entered into an agreement to sell
its two sawmills and their forest operations in Russia to local
management, leading it to record 130 million euros ($137
million) in losses, the group said on April 25. urn:newsml:reuters.com:*:nL2N2WN0J6
YIT YIT.HE
The Finnish builder has signed an agreement with Etalon
Group PLC ETLNGq.L for the sale of its operations in Russia
for about 50 million euros ($53 million). As a result of the
sale, YIT said it would book an impairment of about 150 million
euros in its first quarter income statement.
($1 = 0.8076 pounds)
($1 = 0.9468 euros)
($1 = 7.0399 Danish crowns)
(Compiled by Elena Vardon, Augustin Turpin, Enrico Sciacovelli,
Ina Kreuz; Editing by Mark Potter and Jan Harvey)
((gdansk.newsroom@thomsonreuters.com ; +48 58 7 69 66 00))