In a move that surprises absolutely no one, Unilever has finally bid farewell to its Russian operations, joining the ever-growing list of companies saying goodbye — “До свидания” — as the Russia-Ukraine war trudges along into its third year. Arnest Group, a Russian manufacturer that seems to be on a shopping spree of Western cast-offs, has swooped in to acquire the business, along with Unilever’s Belarus operations, for a cool €600 million. Given the hurdles multinational corporations have faced while attempting to exit Russia, the deal wraps up a particularly complex saga of brand migrations, legal wranglings, and IT disentanglements.
Unilever, which for decades has proudly sold you everything from Axe deodorant to Ben & Jerry’s ice cream, is no stranger to making headlines, though this time it’s not for a quirky new flavor or viral campaign. The decision to stay in Russia longer than many of its peers—think Volkswagen, Heineken, and Renault—has drawn significant ire. Critics have lashed out at the consumer goods behemoth for putting profits above principles. But Unilever insists it’s been a case of more than just crunching numbers. Moscow, after all, hasn’t exactly been rolling out the red carpet for companies looking to pack up and leave, throwing obstacles like asset seizures and underhanded devaluation tactics into the mix.
Now, with the ink dry and the factories handed over, Unilever’s exit marks the end of a chapter for the global giant in Eastern Europe. Hein Schumacher, Unilever’s CEO, made it clear in his statement that this was no overnight decision. But as the dust settles, it leaves one wondering: who’s next to say “we’re outta here,” and will anyone be left in the West-to-East business club by the time this geopolitical storm blows over?
(Source: Bloomberg | The Independent | The Moscow Times)
