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  4. IKEA to liquidate Russian unit as part of sanctions-led pullout
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IKEA to liquidate Russian unit as part of sanctions-led pullout

MOSCOW (Reuters) - Swedish furniture giant IKEA has decided to liquidate its Russian unit, limited liability company IKEA Dom, further scaling back its operations after more than...
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IKEA to liquidate Russian unit as part of sanctions-led pullout © Reuters. FILE PHOTO: A view shows the logo of IKEA on a closed store in Kotelniki outside Moscow, Russia July 5, 2022. REUTERS/Evgenia Novozhenina

MOSCOW (Reuters) - Swedish furniture giant IKEA has decided to liquidate its Russian unit, limited liability company IKEA Dom, further scaling back its operations after more than a decade-long presence in the country, a corporate record showed on Tuesday.

Scores of consumer brands suspended operations in Russia after Moscow sent tens of thousands of troops into Ukraine on Feb. 24, with H&M, IKEA and Nike (NYSE:NKE) among the companies to have announced plans for a permanent exit.

IKEA, the world's biggest furniture brand, shut down its stores in March and said it would sell factories, close offices and reduce its 15,000-strong workforce in Russia.

Ingka group, IKEA stores owner and one of the world's leading shopping centre owners, however, has kept its "Mega" shopping malls in Russia open.

On Monday, IKEA closed its final online sales reopened in July.

According to the record at Interfax news agency's Spark database of Russian companies on Tuesday, Ingka Holding Europe B.V. decided to liquidate IKEA Dom where it is the sole owner. IKEA Dom was established in July 2006.

In June, Ingka Group said it was open to returning to Russia one day but the conditions were not in place right now. Ingka Group did not immediately reply to a Reuters request for a comment on Tuesday.

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