Mondi has confirmed that it has advised Augment Investments Ltd that it is withdrawing from the agreement to sell Mondi’s most significant facility in Russia, JSC Mondi Syktyvkar, together with two affiliated entities, to Augment.
This follows recent discussions with Augment on its lack of progress in gaining the necessary approvals to complete this transaction. As per the terms of the Sale and Purchase Agreement, the disposal to Augment, which was reported in August 2022, will therefore be terminated and will not complete.
Mondi says its Board remains committed to divest Syktyvkar and will continue to assess all alternative divestment options. The proposed disposal of the Group’s three Russian packaging converting operations to Gotek Group, as announced on 15 December 2022, is not connected with the proposed disposal of Syktyvkar. This transaction remains in progress.