Retail Factfile: Companies that have sold their businesses in Russia By Reuters July 19, 2022 REUTERS/Joshua Roberts The logo for McDonald's restaurant is seen as McDonald's Corp. reports fourth quarter earnings, in Arlington, Virginia, U.S., January 27, 2022 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 deals to sell their businesses in Russia: Automotive Inchcape The British car distributor said on April 28 it had agreed to sell its Russian business to local management for €76 million ($77 million). It added the sale will result in an exceptional non-cash loss before tax of about £240 million ($287 million). Iveco The Italian truck and bus maker said on July 13 it had transferred its 33 percent stake in its AMT truck assembly joint venture in Russia to its local partner. Asked about the financial terms of the transaction, Iveco’s CEO replied: “It’s not a matter of finance here.” Michelin The French tyre maker announced plans on June 28 to hand over activities in Russia to a new entity under local management by the end of the year. Michelin said it has balance sheet exposure of €250 million ($253.2 million) from the Russian operations. Renault The French carmaker said on May 16 it would sell its majority stake in Russia’s biggest carmaker, Avtovaz, to a Russian science institute. The price is reportedly just one rouble with a six-year option to buy back the stake. Renault said 100 percent of the shares in Renault Russia would go to the city of Moscow. Banks PPF The Czech investment group confirmed on May 31 it had sold 100 percent of its Russian banking assets, consumer lender the Home Credit and Finance Bank and its subsidiaries, to a group of investors led by Ivan Tyryshkin. Société Générale The French bank said on May 18 it had closed the sale of its Russian business Rosbank to the Interros group, a firm linked to oligarch Vladimir Potanin. The bank will take a €3.2 billion euro ($3.2 billion) hit in net income from the sale. Consumer electronics Electrolux Professional The Swedish home appliance maker said on July 11 that it was selling its business in Russia to local management and leaving the country. It will book a one-off cost of 35 million Swedish crowns ($3.4 million) in the second quarter related to the divestment. Whirlpool The US home appliance maker agreed on June 27 to sell its Russian operations to Turkey’s Arcelik. Whirlpool expects to record a $300-400 million loss in the second quarter in connection with the transaction. Electrical components and equipment Kone The Finnish elevator maker said on June 28 it would sell its business in Russia to local management for an undisclosed amount. Schneider Electric The French electrical equipment maker has agreed to sell its Russian unit to local management, the company said on July 4. It expects to write off €300 million ($303.8 million) in net book value as a result of the divestment. Energy Enel The Italian utility said on June 16 it had agreed to sell its 56.43 percent stake in Enel Russia for around €137 million ($138.7 million) to Russia’s second-largest oil producer, Lukoil, and private fund Gazprombank-Frezia. The sale will have a negative impact on reported group net income of about €1.3 billion ($1.3 billion). Equinor The Norwegian oil and gas company said on May 25 it had exited its four Russian oil and gas joint ventures, transferring assets to state-owned Rosneft, its long-term partner. Equinor also signed an agreement to exit the Kharyaga oil project. Shell The British energy and petrochemical giant will sell its Russian retail and lubricants business, which includes 411 retail stations and the Torzhok lubricants blending plant, to Russia’s Lukoil, the companies said on May 12. Shell would not comment on the value of the deal. TotalEnergies The French oil and gas company said on July 6 it had agreed to transfer its remaining 20 percent stake in Russia’s Kharyaga oil field to the country’s state producer Zarubezhneft. Trafigura Group The Singapore-based commodities trader said on July 13 that it had sold its 10 percent stake in the Vostok Oil project in Siberia to Hong Kong-registered trading firm Nord Axis. The price of the transaction was not disclosed. Food and beverages AB InBev The Dutch brewer said on April 22 it would sell its non-controlling stake in its Russian joint venture AB InBev Efes, taking a $1.1 billion impairment charge in the first quarter. Atria The Finnish food processing company said on May 16 it had sold its fast-food business in Russia, Sibylla Rus, to Russian meat producer Cherkizovo for about €8 million ($8.1 million). Fazer The Finnish bakery and food service company said on April 29 it had agreed to sell its Russian unit to Moscow’s Kolomenskij Bakery and Confectionery Holding for an undisclosed amount. McDonald’s The US fast food giant said on May 19 it would sell its Russian business to its current licensee Alexander Govor and the restaurants would operate under a new brand. It did not disclose the financial terms of the transaction. Paulig The privately owned Finnish food and drinks company said on May 5 it had sold its operations in Russia to private Indian investor Vikas Soi. Pizza Hunt Yum Brands said on July 5 it had completed the sale of its Pizza Hut business in Russia to a local operator. The financial details of the sale were not disclosed. Russian newspaper Kommersant had on June 7 reported the business was bought from Poland-listed franchiser AmRest by Noi-M – a company linked to Russian restaurant group Rosinter that operates the Russian franchises of Costa Coffee and T.G.I. Friday’s – for 300 million roubles ($5.3 million). Raisio The Finnish food processing company said on April 29 it had agreed to sell its consumer business in Russia to Copacker Agro for about €1.5 million ($1.5 million). Valio The Finnish dairy producer has sold its Russian business to GK Velkom, the company said on April 26. Valio has not disclosed the value of the deal. Industrial machinery Apator The Polish switchgear and metering devices company Apator announced on May 20 its Powogaz unit had divested its entire stake in Russia-based AO Teplovodomer for 5 million roubles ($88,106). Danfoss The Danish industrial company said on July 15 it had signed a deal to sell its Russian and Belarusian business to local management. OC Oerlikon The Swiss industrial group said on June 2 it had agreed with local management to sell its business in Russia, which will continue to operate independently under new owners. Ponsse The Finnish forest machine maker said on June 28 it had sold its subsidiary operating in Russia and Belarus for an undisclosed sum to OOO Bison, a Russian company set up a month earlier by the owner of its local retailer. Stora Enso The Finnish forestry firm has completed its exit from Russia with the sale of three packaging plants to local management, it said on May 16. In April, Stora agreed to sell two sawmills and their forest operations in Russia to local management, causing it to record a 130 million-euro ($131.6 million) loss. Mining Amur Minerals The London-listed Russian mining company on May 9 announced a proposed sale of its main Kun-Manie project for $105 million to Stanmix Holding, a company controlled by Vladislav Sviblov. Kinross Gold The Canadian gold miner said on June 15 it had sold its Russian assets to the Highland Gold Mining Group for $340 million in cash, half of the previously announced price. Retail LPP The Polish clothing retailer said on May 19 it would sell its Russian company RE Trading to a Chinese consortium. LVMH The French luxury company’s beauty chain Sephora said on July 11 it was selling its Russian subsidiary to the local general manager, but did not disclose the price of the transaction. SOK Retail The Finnish firm agreed to sell its Prisma retail chain of 15 stores in Saint Petersburg to Russian retail group X5 for an undisclosed sum, the buyer announced on June 16. Other sectors Brunel International The Dutch employment services company is in the process of selling activities in Russia to local management, it said on April 29. Elopak The Norwegian carton packaging and filling equipment supplier said on July 15 it had agreed to sell its Russian unit JSC Elopak to Packaging Management and Investing, a company beneficially owned by the local management. The company did not provide specifics on the purchase price or whether there was a clause in the agreement that enabled Elopak to buy back the unit. Flugger Group 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 ($15.7 million) write-down. Imperial Brands The British tobacco group said on May 17 that the deal to sell its business in Russia to “investors based in Russia” was closed and did not include a clause allowing it to buy back the business in future. The group had previously said it was booking an estimated charge of £225 million ($269 million) for the transaction. Maersk The Danish shipping company has found possible buyers for its 30.75 percent stake in Global Ports Investments, which operates ports in Russia, it said on May 4. Nexters The international game developer said on July 12 it had decided to transfer its gaming business in Russia to local management. Soprano The Finnish training company said on May 19 it had sold its unit in Russia to local management, adding the sale would not significantly impact its results. YIT The Finnish builder said on May 30 it had completed the sale of its Russian operations to Etalon Group PLC for about €50 million ($50.6 million). Zurich Insurance The Swiss insurer said on May 20 it had agreed to sell its Russian business to 11 members of the local team.