The Carlsberg Group has officially announced the revocation of its licensing agreements with Baltika Breweries in Russia. These agreements allowed Baltika to produce, market and sell all Carlsberg Group products, including international and regional brands. The decision was made in response to the presidential decree issued on July 16, 2023, which temporarily transfers the management of Baltika to the Russian authorities.

During a limited liquidation period, which will last until April 1, 2024, Baltika will be allowed to use existing stocks and materials. Following a thorough assessment, the Carlsberg Group has concluded that there is currently no scope for a negotiated solution to abandon the Russian market. The Group refuses to be forced into an unacceptable agreement, which would justify the illegitimate acquisition of their business in Russia.

To protect its employees, assets and operations, the Carlsberg Group is taking all possible actions, including legal action. It is not clear what the next formal steps will be in relation to Baltika, nor what the Russian government will do. The Carlsberg Group retains title to the company's shares, despite the temporary management being passed to the Russian state. As a result, the value of the Carlsberg Group's business in Russia will be completely written down.