Putin signs decree for Russia to seize shares of Carlsberg and Danone subsidiaries

A decree signed by Vladimir Putin says the Russian state would ‘temporarily’ manage shares belonging to Danone Russia and to Baltika, which is owned by Carlsberg

A large number of major western companies have pulled out of Russia in an exodus since Moscow launched its Ukraine offensive in February last year

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Russia took control of shares belonging to Carlsberg beer on Sunday. Photo: Reuters

Published: 12:42am, 17 Jul 2023Updated: 3:16pm, 17 Jul 2023

Russia took control of shares belonging to French agribusiness Danone and brewer Carlsberg, according to a decree published on Sunday.

The decree signed by Russian President Vladimir Putin says the Russian state would “temporarily” manage shares belonging to Danone Russia and to Baltika, which is owned by Carlsberg.

Baltika is a leading brewing company in Russia, with around 30 per cent of the market share.

Carlsberg announced in March that it would sell the entirety of its activities in Russia, where it employed 8,400 people. Carlsberg called the decision “unexpected” and indicated it’s assessing legal and operational consequences as well as any financial impact.

The Carlsberg Group has not received any official information from the Russian Authorities regarding the presidential decree or the consequences for Baltika Breweries

Carlsberg statement

Following the presidential decree, the prospects for this sales process are now highly uncertain,” Carlsberg said in a statement.

“The Carlsberg Group has not received any official information from the Russian Authorities regarding the presidential decree or the consequences for Baltika Breweries.”