Wärtsilä officially exits Russian market
Finnish marine and energy technology group Wärtsilä has completed its orderly exit from the Russian market following its announcement of scaling down activities in April 2022.
On 21 July, Wärtsilä informed that it has officially exited the Russian market. All adjustments and closures of its operations were completed in accordance with local regulations. The company stresses that its priority has been ensuring the safety of employees.
Wärtsilä continues to strongly condemn Russia’s invasion of Ukraine. The company has fully committed to complying with all trade sanctions applicable to its operations from the beginning of the war, and it has now ceased all business operations in Russia across all business units.
As part of the exit, the Wärtsilä Digital Technologies (WDT) office in Saint Petersburg has been closed. A reduced team will conduct final procedures to complete the closure, however, all operations have ceased. Wärtsilä has built new R&D capabilities outside of Russia.
In May/June, the company signed agreements to sell the Transas Navigator business and Wärtsilä Vostok LLC to the local management of the companies. Transas Navigator will now operate as an independent company. Wärtsilä does not provide or deliver any services or parts to the Transas Navigator business following the divestment.
The team previously working for Wärtsilä Vostok continues under a newly established company, V-Vostok LLC, which will continue to provide marine equipment maintenance services locally. Following the divestment, Wärtsilä does not provide maintenance services in Russia.
The financial impact of these divestments is in line with the provisions taken in the first quarter of 2022 and therefore do not have a material impact on Wärtsilä’s Q2 financials.