Heineken requesting approval to sell its Russian brewery business

Heineken Lager Beer wants to sell its brewery business in Russia, so it is reportedly seeking approval for this plan. It has submitted a request to Russian Federation to allow it to sell its business in the country.

Heineken's move came to light after it posted a trading update where it stated its forecast for its operating profit for 2023. Its prediction states the company's earnings will increase by a mid to high single-digit percentage rating. The beer producer also disclosed its sale plan for its Russian brewery.

As per Reuters, Heineken already said in the past that it is planning to leave the Vladimir Putin-led country. It will incur a €300 million or about $329 million loss for this move, but the company still wants to go ahead.

Moreover, the Dutch beer giant said that it is now seeking a green light for the sale of its business as it is also being criticized for staying on Russian soil. It has previously issued an apology for creating ambiguity over its promise to make its exit from Russia which has been trying to invade Ukraine. "If and when we have approval, we will share further details about the buyer," Heineken said on Wednesday this week.

Barron's further quoted the company as saying, "We continue to make progress in transferring the ownership of our business in Russia and an application has been submitted for approval to the authorities in the Russian Federation in line with local regulatory requirements."

Heineken added, "There is a limit to what we can say before this process is completed. If and when we have approval, we will share further details about the buyer and agreement."

Meanwhile, Heineken has been inundated with calls for a boycott on social media after it was reported earlier this year that it is still in operation and continuing its business in Russia.