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      L’Air Liquide SA (AIQUY) Disengages From Russia - Stocks Telegraph

      By Wasim Omar

      Published on

      September 2, 2022

      3:32 PM UTC

      L’Air Liquide SA (AIQUY) Disengages From Russia - Stocks Telegraph

      L’Air Liquide SA (OTC: AIQUY) has been making the rounds in the news lately because of a recent decision, regarding its business activities in Russia. The stock has been on a steady downward descent in the last month. This recent news may potentially act as a catalyst for a possible turnaround in the trajectory.

      AIQUY Divestment in Russia

      Stock for L’Air Liquide SA has been on a descending path throughout the month. Recent news may potentially trigger action in the market that may see a volume surge resulting in price movement in either direction. The company had confirmed plans, earlier today of ceasing all operations within the Russian Federation, effective immediately. The existing operations in the country, which employ up to 720 individuals, will be a part of a local management buyout. An MOU has already been signed for this divestment, which spells out the terms of the transfer of activities. The move does not materially impact the company’s financials, given that revenue from Russia accounts for less than 1% of its total turnover.

      Implications for L’Air Liquide’s Future

      As emphasized above, the move does not materially impact AIQUY’s business, given the small contribution of the segment. The company, however, was facing increased pressure from shareholders, as well as external parties, in the wake of sanctions against Russia. The company, however, took a sustained approach, scaling down gradually. The focus remained on maintaining oxygen supply to hospitals. However, it is likely that with the easing off of pressure, the company can now focus on expanding its existing markets, especially emerging economies.


      AIQUY announced disengagement from its Russian operations earlier today. Although the move is inconsequential to the company’s finances, it may very well enhance its sustainability, given the pressure, it was facing in the wake of the Russian invasion of Ukraine.

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