Farmington elevator maker Otis Worldwide Corp. announced Wednesday that it was selling off its Russian business amid the ongoing war in Ukraine.
The deal follows Otis’ decision in March to stop taking new equipment orders and cease investment in its Russia operations.
Otis is selling its Russian business to Ice Development, a Russian-based investment company with a focus on the real estate sector and overseeing large-scale residential construction and building restoration projects.
Financial terms were not disclosed.
“After carefully considering the global impacts and consequences of the ongoing crisis and humanitarian tragedy across Eastern Europe, including supply chain disruptions and mounting regulations, we determined that Otis’ ownership of our business in Russia is no longer sustainable, and we have entered into an agreement with Ice Development to sell 100% of our interest in the Otis Russia business,” the company said in a statement.
Also on Wednesday Otis reported that its second quarter profits remained largely flat amid a decline in sales.
It reported second quarter net income of $321 million, or 76 cents per share, vs. $326 million, or 76 cents per share, in the year-ago period. Sales totaled $3.49 billion, down 5.8% from a year earlier.
