Russia's largest brewery drags Carlsberg to court for terminating licence amid war

Baltika Breweries, Russia's largest brewery company, has filed a lawsuit to drag  Danish brewer Carlsberg to court to prevent firm from terminating a licensing agreement for some of its popular brands in Russia, Kommersant reported on Sunday. Carlsberg Group’s Russian unit Baltika was acquired by Russian government in August after company pulled out in response to ongoing war in Ukraine. business was transferred to Russia's Federal Property Manment ncy as Western nations slapped a barr of sanctions against Moscow, prompting foreign firms to close down businesses. 

A ruling in  document dated September 25 accessed by Kommersant paper showed that  company requested  Arbitration Court of St. Petersburg and Leningrad Region to prohibit Federal Service for Intellectual Property Rospatent from altering contracts with dozens of companies such as Tuborg, Kronenbourg, Seth & Riley’s Gar, Holsten and LAV.

It asked court to terminate processes by Carlsberg in Denmark to suspend  framework license agreement. company said that it would suffer great losses due to ' jurisdiction of disputes in Denmark and ir termination.' Russia's President Vladimir Putin signed a decree that allowed  state to ‘temporarily’ man shares belonging to French agribusiness Dane and Baltika in July. Since Russian President Putin ordered what he calls a "special military operation" in Kyiv, more than 1000 companies have ceased business in Russia. 

Carlsberg pulled out of Russia in response to war in Ukraine

Danish brewery group Carlsberg pulled out of Russia in response to war in Ukraine, imitating measure taken by its competitor, Dutch brewing giant Heineken just hours before last year. Copenhn-based group, in a statement, said it was forced to resort to ' difficult and immediate decision to seek a full disposal of our business in Russia, which we believe is right thing to do in current environment.' company owned  Baltika Breweries, one of largest brewing firms in Russia, and accounted for an estimated 10% of its sales in Russia. Its decision to shut down outlets and pull out business laid off 8,400 staff who protested move.

Danish brewer's CEO Cees ’t Hart, in a statement, explained that decision implied that Carlsberg 'will have presence in Russia,' but halt of business would have impact on Russian market that included Carlsberg's revenue and operating profits.  business “will be treated as an asset held for sale until completion of disposal," company said. Russia expressed objection as firm anunced that any profits emerging from humanitarian crisis 'will be donated to relief organisations.'