Mondi PLC (LSE:MNDI) has scrapped a deal with an investment vehicle owned by Russian billionaire Viktor Kharitonin for its largest plant in Russia, as there was a "lack of progress" in getting necessary approvals.
Shares in the paper and packaging firm fell 2.5% on the news that the 95bn Russian rouble – around £944mln - deal was not going ahead.
The company had agreed to sell Mondi Syktyvkar, a pulp, packaging paper and uncoated fine paper mill located in the capital of the Komi Republic in Russia to Augment Investments in August last year.
Mondi still intends to sell Syktyvkar while the disposal of three Russian packaging converting operations to Gotek Group, announced in December, remains in progress.
Businesses around the world have been paring back Russian operations in the wake of the war with Ukraine although some deals are taking longer than others.