Nokian Tyres reports that it has received a price of 285 million euros from PJSC Tatneft for the sale of its operations in Russia. The total permissible transaction price defined by the Russian Governmental Commission was 23,050 million rubles.
After registration formalities in Russia, the transaction will be completed, and Nokian Tyres’ operations in Russia will end.
"Due to the war in Ukraine it was no longer feasible nor sustainable for Nokian Tyres to continue operations in Russia. The exit process has been long, but we are satisfied that we are in the final stage of completing it. Our focus is now fully on building the new Nokian Tyres, and we are excited about our new direction," Jukka Moisio, President and CEO of Nokian Tyres stated in a company release.
Nokian Tyres had been operating in Russia since 2005. In 2021, approximately 80 percent of the company’s passenger car tires were produced in Russia and the business area of Russia and Asia represented approximately 20 percent of Nokian Tyres' net sales.
The company announced in June 2022 that it would initiate a controlled exit from Russia.