Carlsberg pulls out of Russia, joining rival Heineken in protest of the Ukraine war

Carlsberg will exit the Russian market and take a “substantial” non-cash impairment cost, the Danish brewer stated on Monday, the most recent Western firm to exit amid mounting strain on Russia following its invasion of Ukraine.

Dutch brewer Heineken additionally introduced on Monday it had determined to exit its Russian enterprise at a price of 400 million euros (US$438 million).

“We’ve got taken the troublesome and quick choice to hunt a full disposal of our enterprise in Russia, which we imagine is the fitting factor to do within the present surroundings,” Carlsberg stated. “Upon completion, we can have no presence in Russia.”

Carlsberg, the Western brewer most exposed to the Russian market, launched a strategic review of its Russian business this month but had kept its eight breweries in the country operating.

The decision to exit Russia would result in a “substantial non-cash impairment charge” this year, it said without providing further details.

Carlsberg had non-current assets in Russia worth 19.2 billion Danish crowns by the end of 2021, which amounts to around 15 per cent of total assets or 44 per cent of its total equity, its annual report showed.