“Heineken” Sold 100% of Assets in Russia for €1

by Meifan Honcharuk
Sunday, August 27, 2023
“Heineken” Sold 100% of Assets in Russia for €1

The cumulative damage to the company on the transaction amounts to €300 mln

In 2022, due to the Russian full-scale attack on Ukraine, the Dutch brand Heineken stopped investing in its production in Russia, selling and advertising its products on the territory of the aggressor country.

"We are shocked and deeply saddened to watch the war in Ukraine continue to unfold and intensify," Heineken, the 28th March 2022.

"We aim for an orderly transfer of our business to a new owner in full compliance with international and local laws. To ensure the ongoing safety and wellbeing of our employees and to minimise the risk of nationalisation, we concluded that it is essential that we continue with the recently reduced operations during this transition period." 

After long negotiations and strong resistance from the Russian authorities, the company sold 100% of its assets for €1. The owners of the company say that "the agreement will entail an expected total cumulative damage of €300 million." As part of the agreement, the new owner of Heineken assets, the Russian manufacturer of household chemicals Arnest, is obliged to compensate the debt of the Russian business to the Dutch concern for €100 million.

The Arnest Group has pledged to keep jobs for each of the 1.800 Heineken employees at locations in Russia for 3 years. The logo, name and production of Amstel beer will be abolished within 6 months. Heineken will not provide any support to these businesses nor receive any dividends.

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