The Potential Buyer of Unilever's Russian Subsidiary has been Named

This was reported to Milknews by a source who did not disclose the deal's value. In 2007, Arnest signed a contract with Unilever. As part of the cooperation agreement, the production and filling of the Anglo-Dutch company's aerosol products began at the Arnest factory. The deal that will result in Unilever leaving the Russian market was approved at the end of August, according to one of RBC's sources. The source noted that the value of the company's Russian business is estimated at $340-450 million, taking into account a discount. Earlier in August, it became known that the deal was approved by the Federal Antimonopoly Service.

Unilever produces food products, ice cream, cosmetics, and household chemicals. Its portfolio includes brands such as Knorr, "Golden Standard," "Inmarko," Dove, "Velvet Hands," "Clean Line," "Black Pearl," Domestos, Axe, and Rexona. As part of the deal, Unilever is selling its subsidiary LLC "Unilever Rus," which holds the rights to the company's brands. According to SPARK data, the main activity of this legal entity is the production of ice cream, and it also owns the rights to the "Magnum" and "Inmarko" brands, as well as the cosmetic brands "Clean Line," "Velvet Hands," and "Black Pearl."

In June 2023, Unilever began adapting the names of its international brands for the Russian market: applications were filed for the trademarks "Domestos" and "Cif," as well as for cosmetics "Dove" and "Rexona." This was done to preserve the ability to continue producing these brands in Russia, which affected the value of the business when sold.

In February 2022, Unilever warned of the risks of ceasing operations in Russia but did not plan to leave the market and was looking for ways to continue its work. The decision to sell the assets may have been influenced by worsening business conditions amid growing geopolitical tensions and pressure on the company. Despite the fact that the revenue of LLC "Unilever Rus" increased by 4.9% in 2023, net profit decreased by 47.5%. In the spring of 2022, Unilever suspended the supply of its products to Russia and the export of goods from its territory, as well as halted investments in the Russian market. However, the company promised to continue providing Russians with personal hygiene products and food produced at local factories.

In July last year, the National Agency of Ukraine for the Prevention of Corruption included Unilever on the list of "war sponsors" because the company did not close its business in Russia.

"Unilever Rus" is far from the only asset that the "Arnest" group has acquired from foreign companies that left Russia. At the end of 2023, Bloomberg reported that the value of assets that the "Arnest" group had acquired from mid-2022 to the end of 2023 amounted to $1 billion, making the company one of the biggest beneficiaries of the departure of Western companies from the Russian market. During this time, the group acquired the Russian divisions of Heineken, Ball Corporation, and the Oriflame plant in Noginsk, near Moscow.