Economy

Henkel sells business in Russia to local consortium for €600 million

German chemical and industrial concern Henkel has signed an agreement to sell its business in Russia to a consortium of local investors.

This is stated in the company’s statement.

The concern recalled that in April 2022, it announced its decision to withdraw from Russia.

The consortium that buys Henkel’s business in Russia includes Augment Investments, Kismet Capital Group and Elbrus Services. “All buyers have established and long-term business relationships in Western countries and are not subject to EU or US sanctions,” the statement said.

The agreed purchase price is 54 billion rubles, corresponding to approximately 600 million euros. The company added that the relevant Russian authorities have already approved the transaction; the final closing of the deal has yet to take place.

Earlier, Henkel promised to cease operations in Russia by the end of the first quarter. After Russia started a criminal war against Ukraine, the German chemical and industrial concern Henkel has transferred its Russian and Belarusian assets to the “for sale” category.

In April 2022, Henkel announced its decision to initiate the process of the company’s exit from the Russian market.

Henkel’s brand portfolio includes Persil, Bref, Pril, Laska, Schwarzkopf, Syoss, Fa, Ceresit, Moment, Loctite, and other adhesives.

Mike

Media analyst and journalist. Fully committed to insightful, analytical, investigative journalism and debunking disinformation. My goal is to produce analytical articles on Ukraine, and Europe, based on trustworthy sources.

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