The parent company BASF suffered a loss of 7.3 billion euros due to the withdrawal of the subsidiary.
The gas and oil giant Wintershall Dea has left the Russian market because of the latter’s aggression in Ukraine. As a result, BASF’s parent company, the largest chemical concern, lost 7.3 billion euros. This was reported by Reuters.
“Wintershall Dea will cease operations in Russia. It is not advisable to continue operations in Russia,” said Mario Mehren, CEO of Wintershall Dea.
Frankfurt-listed BASF shares fell 3.7% following the news.
“Russia’s aggressive war in Ukraine is inconsistent with our values and destroys cooperation between Russia and Europe,” he said nearly 11 months after Russia’s invasion of Ukraine began.
Meren added that the restrictions imposed by the Kremlin on local assets owned by Western companies made it impossible to operate normally “and led to the economic expropriation of joint ventures in Russia.”
Wintershall Dea is a joint venture between BASF and Russian billionaire Mikhail Fridman’s investment company LetterOne.
Wintershall Dea is one of the German companies most exposed to Russian risk. The company had no intention of leaving the Russian market then.
Earlier we wrote that the American technology company Nvidia completely left the Russian market.
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Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.