British paper & packaging company Mondi plc has announced that it has entered into an agreement for the sale of Mondi Syktyvkar, being its last remaining facility in Russia, along with two affiliated entities to Sezar Invest LLC for an amount of RUB 80 billion (approximately €775 million as per the current exchange rate) that would be paid in a series of instalments as set out below (the “Disposal”).

Read: August 2023 Issue of Food Infotech Magazine.

The company has confirmed that the disposal has already been approved by both the Russian Federation’s Federal Anti-Monopoly Service and Government Sub-Commission for the Control of Foreign Investments on the terms agreed between Mondi and Sezar Invest. Further, the company has confirmed that it has been informed that there are no further outstanding regulatory conditions in respect of the Disposal.

The total cash consideration of RUB 80 billion will be paid to Mondi in RUB and in six monthly instalments. The first four monthly payments will be for RUB 13.5 billion each, with the first payment made by the end of September 2023. Once the first four monthly instalments have been paid to the company, which is expected to be completed by the end of December 2023, the Disposal will complete and ownership of Mondi Syktyvkar will transfer to Sezar Invest and accordingly, Mondi will have completed its exit from Russia.

The final RUB 26 billion will be paid in two equal instalments in each of the two months post completion. These payments will be secured by a letter of credit issued to Mondi prior to completion. It is intended that the net proceeds from the Disposal will be distributed to Mondi’s shareholders in a timely manner once all installments of the consideration are received. The Disposal constitutes a Class 2 transaction under the Listing Rules and it is therefore not conditional on the approval of Mondi’s shareholders.


An editor by day & dreamer at night; passionately involved with both print and digital media; Pet lover; Solo traveller.

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