UK packaging firm Mondi to sell Russian assets

·1-min read

(Reuters) -British paper and packaging firm Mondi Plc said on Wednesday it would sell its Russian assets, the latest company to exit the country following Moscow's invasion of Ukraine.

Mondi said the net asset value of its Russian operations was 687 million euros ($724.9 million) as of Dec. 31 and that it has suspended all significant capital expenditure projects in the country.

"Having assessed all options for the group's interests in Russia and recognising its corporate values and stakeholder responsibilities, the board has decided to divest the group's Russian assets," Mondi said in a statement.

Hundreds of companies have suspended operations in Russia or withdrawn from the country completely since the war started due to complications of doing business there.

Mondi said there could not be any certainty on the timing and structure of any possible transaction, given that the sale process is "operationally and structurally complex and is being undertaken in an evolving political and regulatory environment".

The packaging firm also said it was in talks with its customers to further increase prices across the business due to continued cost pressures.

($1 = 0.9478 euros)

(Reporting by Aby Jose Koilparambil in Bengaluru; Editing by Aditya Soni)

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