Russia-Ukraine crisis: Beer giants Heineken and Carslberg exit Russia

Brewing giants Carlsberg (CARLb.CO) and Heineken have joined the long list of companies that have pulled out of Russia as a mark of protest against the Russian invasion of Ukraine.

In a statement, Carlsberg said that it will also take non-cash impairment charge as a result. The company has a 27% share in the local market.

"We have taken the difficult and immediate decision to seek a full disposal of our business in Russia, which we believe is the right thing to do in the current environment. Upon completion we will have no presence in Russia," said Carlsberg.

The company's shares saw a 4.2% increase in their value post the announcement on Monday. Meanwhile, Heineken also said that it has decided to leave Russia, which will cost the firm £334.5 million ($438 million), per a report in Daily Mail.

"We are shocked and deeply saddened to watch the war in Ukraine continue to unfold and intensify," Heineken said in a statement. Heineken is the third-biggest brewer in Russia and makes the Zhigulevskoe and Oxota brands.

The company added that it will "ensure the ongoing safety and wellbeing of our employees," and will continue to pay its 1,800 employees in Russia until the end of 2022.

"Following the previously announced strategic review of our operations, we have concluded that Heineken's ownership of the business in Russia is no longer sustainable nor viable in the current environment. As a result, we have decided to leave Russia," it added.

Accor has suspended all future hotel openings and bookings for sanctioned individuals. Burger King has diverted profit earned from Russian operations to humanitarian efforts.

M&S has pledged more than £1.5m to support Ukrainian refugees. Other multinational brands have managed to pull out of Russia, including McDonald's, KFC, Starbucks, and Coca-Cola.

The other companies that have stopped offering their services in Russia include Netflix, Amazon Prime, H&M, Sephora, Zara, Tommy Hilfiger, Swatch, Mango, Puma, and Ikea.

Ukrainian President Volodymyr Zelensky had called on western and European companies to stop their operations in Russia and ensure that it regrets waging a war. But several western brands have been unable to suspend operations in Russia despite wanting to do so because of the complex franchise deals with their Russian partners.