Ponsse divests its subsidiary in Russia
Ponsse Plc, insider information, 28 June 2022 at 9:30 am
Ponsse divests its subsidiary in Russia
Ponsse Plc has sold all shares in OOO Ponsse, its subsidiary that provided PONSSE services in Russia and Belarus. Today on 28 June 2022, Ponsse signed the deed of sale, according to which Ponsse’s operations in Russia will transfer to OOO Bison once the conditions of the transaction have been met. Ponsse announced its intention to divest its operations in Russia on 15 June 2022.
The buyer OOO Bison is owned by Aleksey Voronkevich, whose company Dormashimport has been responsible for the retail of PONSSE forest machines in the eastern parts of Russia since 2007.
The companies will not disclose the price of the transaction. The sale will not have any significant impact on Ponsse’s result, and Ponsse will not record any significant impairment or profit on its Q2 income statement as a result of the sale.
Ponsse will classify the operations now sold as assets available for sale and report them as discontinued operations. The more detailed financial implications of the transaction are currently being assessed and the comparative figures of 2021 and profit guidance for the current year will be updated to correspond to the new business structure at the latest in connection with the mid-year report. Ponsse will publish its mid-year report on 9 August 2022.
The transaction is expected to be closed by the end of Q3/2022. The transaction requires the approval of the local competition authorities.
Sales in Russia and Belarus have accounted for roughly 20 per cent of Ponsse’s net sales based on the 2021 financial statements. Ponsse’s export and service operations in Russia have been suspended since 2 March 2022 when the company announced that it will suspend all exports to Russia and Belarus. At the same time, OOO Ponsse suspended its local spare parts and maintenance services.
Vieremä, 28 June 2022
PONSSE PLC
Juho Nummela
President and CEO
FURTHER INFORMATION
Juho Nummela, President and CEO, tel. +358 400 495 690
DISTRIBUTION
Nasdaq Helsinki Ltd
Principal media
www.ponsse.com
Ponsse Plc specialises in the sale, production, maintenance and technology of cut-to-length method forest machines, and is driven by a genuine interest in its customers and their business operations. Ponsse develops and manufactures sustainable and innovative harvesting solutions based on customer needs.
The company was established by forest machine entrepreneur Einari Vidgrén in 1970 and has been a leader in timber harvesting solutions based on the cut-to-length method ever since. Ponsse is headquartered in Vieremä, Finland. The company’s shares are quoted on the NASDAQ OMX Nordic List.