Heineken Sold Its Business Operations In Russia For Only One Dollar
Amidst the unpredictable economic climate of Russia, many major businesses have chosen to withdraw from the country completely. In response to fast food chains leaving, oddly enough, Russia has opened clones — possibly in an effort to maintain some sense of normalcy for its citizens.
Fast food chains aren’t the only ones leaving Russia, as according to NBCDFW, Dutch brewer Heineken has just become the latest to make an exit. The most surprising part of it all is that the company decided to sell its Russian business operations for just 1 euro ($1.08 USD).
The company revealed that it’d be losing a total of 300 million euros ($325 million) in the deal by selling to Russian manufacturing giant, the Arnest Group. Heineken was criticized for how long it took to withdraw from Russia, but the company insisted that it was looking out for its employees. Heineken CEO Dolf van den Brick shared in a statement, “While it took much longer than we had hoped, this transaction secures the livelihoods of our employees and allows us to exit the country in a responsible manner.” The sale will include Heineken’s entire Russia-based assets, which include seven breweries.
As part of the deal, Arnest Group guaranteed continued employment for the current 1,800 local staff for three additional years. The actual beer hasn’t been sold in Russia since last year, while another brand owned by the company, Amstel, will be phased out in the next six months.
Feature photo: Heineken
