Tobacco firm BAT sells Russian business to local management

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British American Tobacco said on Thursday it entered into a deal to sell its Russian and Belarusian businesses to a consortium led by members of BAT Russia's management team.

said on Thursday it entered into a deal to sell its Russian and Belarusian businesses to a consortium led by members of BAT Russia's management team.

The maker of Camel and Lucky Strike cigarettes said in March 2022 it would look to exit Russia as Western companies pulled out en masse amid sanctions imposed by the United States, European Union and others following Russia's invasion of Ukraine.BAT, which had previously been in talks with its local distributor over a sale, said it had now formally entered into an agreement to sell the business to a consortium led by its local management team, in compliance with local and international laws.

"Upon completion, BAT will no longer have a presence in Russia or Belarus and will receive no financial gain from ongoing sales in these markets," it said in a stock market announcement, adding it expects the transaction to complete within the next month. BAT remains confident of delivering its full-year guidance, it continued. The company took a 957 million poundBAT said as part of the agreement, the employment terms of its staff in Russia and Belarus will remain comparable for at least two years following completion of the deal.Our Standards:

 

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