Putin decree puts Sonoco, Menshen and ex-Smurfit Kappa units in Russia under temporary management
A decree signed by President Vladimir Putin on 15 October 2026 places three foreign-linked packaging producers in Russia under temporary management by OOO Management Company Capital Center: 12,600 ordinary shares of Kappa Rus, 99.71% of Menshen Packaging CIS and 100% of Eviosys Packaging Kuban. TASS names the owners as Georg Menshen, Sonoco Packaging Netherlands Investments and Sverige International Holdings, the vehicle through which Smurfit Kappa sold Kappa Rus to management in 2023. The decree responds to EU support for Ukraine; the Kremlin says it can be reversed.
Why this mattersMoving Russian units tied to Sonoco and Menshen into temporary management shows the exposure Western groups still carry in Russia, as do the buyers of businesses they sold there.
- A decree of 15 October 2026 transferred 12,600 ordinary shares of Kappa Rus, 99.71% of Menshen Packaging CIS and 100% of Eviosys Packaging Kuban into temporary management.
- TASS names the foreign owners as Georg Menshen GmbH & Co. KG, Sonoco Packaging Netherlands Investments B.V. and Sverige International Holdings AB.
- OOO Management Company Capital Center was appointed as manager.
- Kappa Rus, a Smurfit Kappa subsidiary until its 2023 sale to management via Sverige International Holdings, makes corrugating medium, containerboard and corrugated packaging; 2025 revenue was RUB 16.5bn.
- Eviosys Packaging Kuban is among Russia's largest tin can producers; Menshen Packaging CIS makes plastic packaging.
- The decree, which also covers Russian assets linked to Tarkett, responds to EU support for Ukraine; the Kremlin said it could be reversed.
- Dagens industri identifies Swedish businessman Patrik Ström as the owner behind Sverige International Holdings
- Kappa Rus comprises three corrugated board plants, one paper mill and one bag-in-box facility
- Sverige International Holdings booked Kappa Rus shares at SEK 933m (USD 94.3m) in its 2024 annual report
- Ström retains legal ownership of the shares but loses operational control and dividend rights
- Belgian hygiene group Ontex is also named among companies whose Russian assets were placed under temporary management.
- The Kremlin linked the move to earlier September 2026 seizures affecting Nestle and retailers Auchan and Metro.
- Russia cites the EU's freeze of about EUR 210bn (USD 235.7bn) in Russian sovereign assets as a trigger for the decree.
- Combined annual revenue of the five entities named in the decree, including Tarkett and Kappa Rus, exceeds RUB 50bn (EUR 532m)
- Ontex RU, part of Belgian hygiene group Ontex, was also placed under temporary state management in the same decree
- The appointed manager, referred to as Centre Capital, is headed by Marat Mirkhaydarov, a former regional governor's chief of staff
- Ontex Russia, with about 350 employees, a Noginsk plant and a Moscow sales office, was placed under interim administration under the same decree mechanism
- Ontex Russia accounts for about 5% of group revenue and 7-8% of adjusted EBITDA under IFRS
- Ontex says it is investigating the measure and will consider actions to protect its assets and operations
- Flooring maker Tarkett's Russian assets were confirmed as covered by the same decree mechanism, alongside Menshen Packaging CIS, Kappa Rus and Eviosys Packaging Kuban