ARCELIK INKS EUR 220M DEAL TO BUY WHIRLPOOL’S RUSSIAN OPERATION

Koc Holding’s home appliances subsidiary Arcelik has inked a deal to acquire the U.S.-based white goods company Whirlpool’s production in Russia and its sales and marketing operations in the post-Soviet states for no greater than EUR 220m, according to a statement Arcelik made to the Public Disclosure Platform (KAP). The company will fully buy Indesit International JSC and Whirlpool RUS LLC from Whirlpool EMEA SpA after the necessary permissions are granted and the terms of the agreement are met. The acquired firms have facilities in the western Russian province of Lipetsk with a total production capacity of 2.8 million units of refrigerators and laundry products and with total employment of 2,500 people. “The cost of the acquisition will be no greater than an amount to be determined based on the figures within the closing balance sheet, including fixed assets and working capital, which based on the current financial information of the companies is expected to be approximately EUR 220m,” the statement read. The firms acquired by Arcelik operate in Russia, Kyrgyzstan, Tajikistan, Turkmenistan, Uzbekistan, Armenia, Georgia, Azerbaijan, Kazakhstan, Belarus, and Mongolia. The brands Stinol, Indesit, and Hotpoint will also be purchased.