Whirlpool Corp. is selling off its operations in Russia.
The company’s Whirlpool EMEA SpA subsidiary inked a share purchase agreement to divest the operations to Arçelik A.Ş., a maker of household appliances and durable goods based in Istanbul, Turkey, according to a filing with federal securities regulators.
Under the deal, Whirlpool will sell its Russian operations to Arçelik for deferred payments that it expects the buyer to make over a 10-year period. The payments will be capped at the net asset value of the business at closing, which Whirlpool estimates at around 220 million euros, or about $232 million
The sale will include a manufacturing plant in Lipetsk, Russia, and a sales organization in Moscow, as well as sales operations in Kazakhstan and other nations in the Commonwealth of Independent States.
After the close of the deal, Arçelik will continue to make Whirlpool brands Indesit, Hotpoint and Stinol at the Lipetsk facility, according to the filing.