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Danone will assume an adverse impact of 1,000 million for the sale of its Russian dairy business

MADRID, 14 Oct.

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Danone will assume an adverse impact of 1,000 million for the sale of its Russian dairy business

MADRID, 14 Oct. (EUROPA PRESS) -

The French food group Danone plans to assume an adverse impact of 1,000 million euros derived from the transfer of effective control of its dairy and vegetable food business (EDP) in Russia, as announced by the multinational.

"Danone has decided to initiate a process to transfer effective control of its EDP business in Russia", the company has confirmed, considering that it is the best option to guarantee the continuity of the local business in the long term, as well as for its employees, consumers and partners.

Once closed, the transaction, which will be subject to regulatory approvals, will result in the deconsolidation of Danone's EDP Russia business.

During the first 9 months of 2022, the EDP Russia business represented around 5% of Danone's net sales and had a dilutive contribution to Danone's comparable sales growth and recurring operating margin.