ST. LOUIS — Anheuser-Busch InBev said Friday it will sell its noncontrolling interest in its Russian joint venture called Efes, a move the world's largest brewer said will result in a $1.1 billion impairment charge.
The change follows similar moves by rival brewers Carlsberg and Heineken, who said last month they would exit the Russian market in response to Russia's war in Ukraine.
A-B InBev Efes was created in 2018 from a merger of A-B InBev's and Turkish brewer Anadolu Efes' operations in Ukraine and Russia The firm, which says it has 7,000 employees, has 11 breweries in Russia and three in Ukraine, according to Reuters.
A-B InBev, which acquired a 24% stake in Anadolu Efes as part of its 2016 takeover of SABMiller, said Friday that it's in discussions with its joint-venture partner to buy its stake in A-B InBev Efes.
Belgium-based A-B InBev, which has its North American headquarters in St. Louis, in March said it requested the controlling shareholder to suspend production and sale of its Bud brand in Russia. The company said Friday that its request to suspend production and sale of Bud in Russia "will also be part of a potential transaction."
A-B InBev also said last month it was forfeiting all financial benefit from the A-B InBev Efes joint venture. The company said Thursday that as a result, it's no longer recognizing investments in the joint venture and will report a $1.1 billion noncash impairment charge in its first-quarter results. The joint venture contributed $1 million to A-B InBev's 2021 profit, according to Reuters.
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