Factbox: Companies sell their businesses in Russia
29/04/2022 14:52
(Adds Brunel International, Henkel, Huhtamaki, YIT)
April 29 (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
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
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
($300 million). urn:newsml:reuters.com:*:nL3N2WQ1IH
BANKS
SOCIETE GENERALE SOGN.PA
The French lender said it would sell its Rosbank unit to
Interros Capital, a firm linked to Russian oligarch Vladimir
Potanin. SocGen said it would write off 3.1 billion euros,
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
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, Chief
Executive Sandor Csanyi said on April 27. urn:newsml:reuters.com:*:nL5N2WP7NB
FOOD & BEVERAGES
AB INBEV ABI.BR
The brewer announced 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
CARLSBERG CARLb.CO
The Danish brewer said on April 28 it was selling its
Russian business. Chief Executive Cees 't Hart said there was
good progress and "definitely" interest in it. urn:newsml:reuters.com:*:nS8N2OC053
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
TOBACCO
BAT 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 crown write-down. urn:newsml:reuters.com:*:nFWN2W60G1
HENKEL HNKG_p.DE
Chief executive of the German consumer goods group said on
April 29 the group could "completely halt or sell (its) Russia
business". It announced its intention to exit Russia on April
19. urn:newsml:reuters.com:*:nS8N2VL034
HUHTAMAKI OYJ HUH1V.HE
The Finnish food packaging company said on April 29 it has
decided to initiate the divestiture process of its operations in
Russia. urn:newsml:reuters.com:*:nASM00093L
HYVE HYVE.L
The British exhibitions group has proposed selling its
Russian business, citing warnings from customers that they would
boycott its Western events if it continued to operate in the
country. The group said on April 6 the proposed sale for a
maximum price of 72 million pounds ($94 million) was also a
result of compliance and operational challenges the company
would face due to Western sanctions on Russia. urn:newsml:reuters.com:*:nL3N2W414F
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 company said on April 5, nearly a month after
suspending its operations in the country. urn:newsml:reuters.com:*:nL3N2W31F8
LPP LPPP.WA
Polish clothing retailer LPP LPP.WA has decided to sell
its business in Russia, the company said on April 28.
urn:newsml:reuters.com:*:nL2N2WQ164
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
($319 million) of net book value and make a non-cash reversal of
currency translation estimated at 120 million euros.
urn:newsml:reuters.com:*:nL5N2WP1R4
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 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 ($52.69 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 = 0.9489 euros)
(Compiled by Elena Vardon, Augustin Turpin, Enrico Sciacovelli,
Ina Kreuz
Editing by Mark Potter)
((gdansk.newsroom@thomsonreuters.com ; +48 58 7 69 66 00))