BRUSSELS — Bridgestone Europe N.V./S.A. has completed the sale of its Russian assets to S8 Capital, a Russian diversified holding company, for undisclosed terms.
The agreement, which has received "all necessary regulatory approvals," includes Bridgestone's 7-year-old tire plant in Ulyanovsk, Russia, and a sales and marketing office in Moscow, Bridgestone said Dec. 20.
Bridgestone, which has been present in Russia since 1998, suspended all manufacturing activities in Russia in March 2022, following Russia's invasion of Ukraine and subsequent military occupation of much of eastern Ukraine.
Bridgestone said it expects the impact of the sale on its financial bottom line to be "minor."
S8 Capital earlier bought Continental A.G.'s passenger tire plant in Kaluga, Russia, after Continental reached a similar decision to divest the majority of its activities in the country.
Described as "one of the most advanced among all Bridgestone enterprises in the world," the Ulyanovsk plant was rated at 5 million car and light truck tires a year. The plant is located on a 200-acre plot of land in Ulyanovsk, a city of 600,000-plus residents located in the Ural mountains roughly 525 miles west of Moscow.
At full production, the plant had 1,000 employees.
Bridgestone said the Russian operation contributed less than 2% of the group's annual revenue.
S8 Capital is described as a company engaged in the creation and development of high-tech products and services. Its founder and largest shareholder is Russian businessman Armen Sargsyan.
The deal completes the withdrawal from Russia those western tire companies that declared their intention to do so in the days and weeks following Russia's invasion of Ukraine in February 2022.
Besides Continental, Group Michelin and Nokian Tyres P.L.C. have sold their operations in Russia, while Pirelli & C. S.p.A., Titan International and Yokohama Rubber Co. Ltd. continue to have operations in Russia.