Kellogg Co has announced the divestment of its Russian operation to local snacks and drink maker Chernogolovka, joining the list of Western companies that have sold their assets in the country.
The movement comes after the cereal maker suspended earlier this year all imports of its products in Russia and pulled investments including advertising and promotions in the country, following Moscow’s invasion of Ukraine.
Chernogolovka manufactures snacks, energy drinks and bottled water, and cola drinks since Coca-Cola and PepsiCo suspended sales in Russia, being the supplier of food chains such as Burger King and KFC.
According to a Reuters report, the Kellogg business in Russia represents less that 1% of the global sales of the company.
The sale is subjected to local government regulatory approvals.