Henkel AG, the German maker of household and industrial chemicals, announced a strategic move to divest its Russian operations by signing an agreement with a local investor consortium. The group, assembled to take ownership of Henkel’s assets in the Russian Federation, includes Augment Investments, Kismet Capital Group and Elbrus Services. This consortium is positioned to acquire the Russian businesses and to integrate them into a local operating framework designed to maintain continuity for customers and employees while aligning with broader corporate governance and sanctions considerations that have shaped multinational activity in the region.
According to the press release, all necessary approvals from relevant government authorities have been secured, and the transaction is anticipated to close in the near term. The disclosed deal value is rubles, with the official figure reported as 54 billion rubles. This milestone reflects Henkel’s long-standing strategy to reshape its portfolio in response to evolving economic and regulatory environments while ensuring a responsible wind-down of operations where required.
Henkel’s decision to exit the Russian market was initially communicated in April 2022, setting in motion strategic planning for a careful transfer of assets. By early 2023, Henkel outlined a phased approach to ending direct activities in the region. In an interview with a leading business publication, the company’s leadership indicated that Henkel would complete its withdrawal in the first quarter of 2023, subject to regulatory and market conditions. During this transition, Henkel Russia began functioning as an independent entity known as Lab Industries, tasked with preserving brand integrity and supply continuity for domestic customers while ensuring compliance with all applicable laws and standards.
Henkel’s diverse brand portfolio in Russia encompassed well-known consumer and professional lines, including Pemolux, Persil, Losk, Laska, Vernel, Fa, Taft, Shamtu, Schwarzkopf, Syoss, Ceresit and Metylan, among others. The strategy behind maintaining such brands during the transition was to safeguard market presence, retain skilled personnel, and sustain service levels for retailers and end consumers. The arrangement with the new owners aims to preserve brand equity and local market knowledge, supporting a stable operating environment during the restructuring period.
Industry observers note that the sale aligns with a broader pattern among multinational manufacturers reassessing footprints in geopolitically sensitive regions. In this context, the consortium-led transfer is presented as a controlled, investor-led handover rather than a hasty exit, with emphasis on continuity for suppliers, logistics partners, and customers. The closing of the deal will mark a notable milestone in Henkel’s ongoing portfolio optimization, reinforcing the company’s focus on its core businesses and strategic markets outside the Russian Federation, while allowing local operators to maintain day-to-day operations in alignment with local regulations and market expectations.
From a regional perspective, the transition of Henkel’s Russian assets to local ownership is expected to influence product availability, service levels, and pricing dynamics in a market characterized by strong consumer demand for personal and household care products. Observers anticipate that Lab Industries, along with the new ownership group, will prioritize continuity of supply chains, investment in product quality, and the preservation of longstanding customer relationships. The brands listed above are anticipated to continue serving the domestic market under new stewardship, with the potential for localized marketing initiatives and product adaptations suited to local consumer preferences. This development may also impact employment within the region, with safeguards aimed at protecting workers’ rights and facilitating a smooth transition for staff members who have contributed to Henkel’s Russian operations over many years. (Source: Henkel press release and subsequent industry reporting)