PONSSE has sold its subsidiary providing services in Russia and Belarus for an undisclosed sum to a new company set up a month ago by its local retailer.
Bison is owned by Aleksey Voronkevich, whose firm Dormashimport has been the retailer of the Finn's forestry machines in the eastern parts of Russia since 2007.
President of Ponsse, Juho Nummela, confirmed to Reuters the new firm was created specifically to buy the subsidiary. It's understood Dormashimport has ceased trading.
Bison is expected to complete the deal by the end of Q3, following approval from local competition authorities.
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Sales in the two nations accounted for roughly 20 per cent of Ponsse's net sales in 2021. When the Finns suspended operations in March as a result of Russia's invasion of Ukraine, it wiped around €109 million from the firm’s order intake.
A Ponsse statement read: "Today (June 28), Ponsse signed the deed of sale, according to which Ponsse’s operations in Russia will transfer to Bison once the conditions of the transaction have been met. Ponsse announced its intention to divest its operations in Russia on June 15.
"The buyer Bison is owned by Aleksey Voronkevich, whose company Dormashimport has been responsible for the retail of Ponsse forest machines in the eastern parts of Russia since 2007.
"The companies will not disclose the price of the transaction. The sale will not have any significant impact on Ponsse’s result, and Ponsse will not record any significant impairment or profit on its Q2 income statement as a result of the sale."
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