IEK Group bought out the Russian business of the French company Legrand
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IEK Group acquired the Russian assets of the French electrical equipment manufacturer Legrand Group, a representative of the acquirer told Vedomosti.
The deal covered three production sites of the French company in Russia, as well as more than 20 representative offices in the regions. The audit and consulting firm Kept provided legal support for the transaction.
“The government commission has established key indicators for the former Legrand enterprises for the next three years. The total revenue of the three production sites in 2025 should be about 8.5 billion rubles. IEK Group’s investments in the development of production at these enterprises will reach 1 billion rubles over three years,” the company reported.
IEK Group CEO Andrey Zabelin noted that the deal will give impetus to a large-scale product localization program and additional investments in production.
The Legrand group has been operating on the Russian market since 1993. It owned three factories in the Ulyanovsk region. In January 2023 Legrand reported about plans to leave the Russian market. The company was considering options for a “timely and orderly transfer of control” over local assets. In 2022, 1.5% of the French company’s sales came from Russia. Due to the decision to leave the Russian market, Legrand assets are expected to depreciate in the amount of €150 million.
IEK Group is a Russian electrical engineering company that has been operating on the market since 1999. It produces products under several brands, including IEK. The company’s production sites are located in Yasnogorsk, Novosibirsk and Kazan.
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