(Alliance News) - Mondi PLC on Monday said it had sold its three Russian packaging converting operations to Gotek Group for EUR30.4 million, or ZAR623.2 million.
The Weybridge, England-based paper and packaging firm said Gotek Group had received all requisite approvals and the sale had now been completed.
Mondi received net proceeds of EUR30.4 million from this disposal into its Austrian bank account.
It said the net proceeds from the sale of all its Russian assets will be distributed to shareholders as soon as reasonably practicable, once its exit from Russia has been completed.
The disposal of three Russian converting operations is not connected with JSC Mondi Syktyvkar, a pulp and paper mill.
Mondi said it remains committed to divesting Syktyvkar and continues to assess all alternative divestment options.
Early last month, Mondi said it had withdrawn the disposal of its most significant facility in Russia, Syktyvkar, due to lack of progress in gaining regulatory approvals in that country.
Mondi entered into an agreement with Augment Investments Ltd to sell the Syktyvkar mill for around EUR1.5 billion in August 2022. The disposal was conditional on the approval of the Russian government.
By Artwell Dlamini, Alliance News reporter
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Mondi (MNDI)