The Leningrad Region factory to stay in operation after Henkel exit and ownership shift
The factory in the Leningrad Region will continue production and preserve jobs even after the German chemical giant Henkel AG exited the Russian market and changed ownership. This development was reported in statements attributed to Dmitry Yalov, who serves as Deputy Head of the Government of the Leningrad Region for Economy and Investments, via TASS. The region emphasizes that the transition is being managed to safeguard ongoing manufacturing activity and employee stability, signaling a steady path forward amid broader market adjustments.
Action plans released by regional authorities outline a constructive pathway. The authorities intend to maintain active collaboration with the new owner and to deploy the necessary support measures to ensure continued production growth. The Leningrad regional administration conveyed that the transaction is expected to close in the near term, underscoring confidence in a smooth transition and ongoing industrial momentum.
The business arrangement was publicly disclosed on April 20. A consortium to own the Russian assets of Henkel’s concern was named, comprising Augment Investments, Elbrus Services, and Kismet Capital Group. The deal values at 54 billion rubles, with the closing anticipated soon after regulatory steps are completed. The consortium has framed the plan as a strategic move to preserve the continuity of manufacturing capabilities and to support regional employment during a period of corporate realignment.
Henkel initiated the sale of its operations in Russia in April 2022. In early 2023, the company suspended activities in the Russian Federation, and by the start of the year, Henkel Russia had begun operating as an independent entity under the name Lab Industries. This evolution reflects a broader trend of restructuring within the sector as multinational groups recalibrate their footprints in response to shifting market conditions and regulatory developments.