Dutch brewer Heineken sold its operations in Russia to the Arnest Group for 1 euro, incurring an expected cumulative loss of 300 million euros in total.
La transaction in which all necessary approvals have been obtained, Heineken’s process to leave Russia in March 2022 states that “there are no purchase options to return to Russia,” as the multinational confirmed.
In this way, Russian Arnest will acquire ownership of the assets in the country where Heineken production facilities are located, and will take over the company’s 1,800 employees in Russia, providing them with employment guarantees for the next three years.
Similarly, the Dutch company stated that, in addition to the Heineken brand that was withdrawn from Russia in 2022, Amstel’s production will be stopped within 6 months and no other international brands will be licensed in Russia. 3 year license excluded For some small regional brands, it is necessary to ensure business continuity and transaction approval.
Therefore, Heineken will not provide brand support and will not receive revenue, royalties or fees from Russia.
As a result of the transaction, Heineken expects to receive exceptional losses of EUR 300 million, including accumulated foreign currency losses related to Russia;
It will have a negligible impact on earnings per share and will not affect the company’s 2023 projections.
“We have completed our exit from Russia”“, stressed Dolf van den Brink, Russia’s president and CEO, for whom recent events reveal the significant challenges faced by major manufacturing companies as they leave Russia.
“While it took much longer than we expected, this process secures our employees’ livelihoods and allows us to leave the country responsibly,” he added.