British American Tobacco to sell business in Russia to local management – Kommersant

British American Tobacco (BAT) announced that it had agreed to sell its business in Russia and Belarus. The buyer will be a consortium led by the management of BAT Russia. The deal is expected to close within the next month for an undisclosed amount.

“After the completion of the project, BAT will no longer have a presence in Russia and Belarus and will not receive any financial profit from continued sales in these markets,” the statement reads. statement companies.

British American Tobacco makes Dunhill, Kent, Vogue, Rothmans, Pall Mall, Lucky Strike and Java cigarettes, as well as glo tobacco heaters and neo sticks. All trademarks will remain the property of the Russian business.

Upon completion of the BAT Russia transaction, British American Tobacco’s operations in Russia and Belarus will be transferred under the name ITMS Group (International Tobacco Marketing Services Group). In Russia, British American Tobacco has a BAT-SPb factory in St. Petersburg. BAT Russia also includes International Tobacco Marketing Services, a marketing and sales company.

British American Tobacco also assured that the forecast for 2023 will be met, despite the withdrawal from Russia.

The company announced its intention to transfer the business in March 2022. At the same time, British American Tobacco CEO Jack Bowles said earlier that the process of leaving Russia is not so simple and the sale of the business can take place only in 2024.

Anastasia Larina