Finnish food company Raisio said on Friday it has agreed to sell OOO Raisio Nutrition, its consumer business in Russia, to Russian company Copacker Agro Ltd for about 1.5 million euros ($1.6 million).

As a result of the sale, Raisio said there would be an estimated impairment loss of 2.9 million euros in its first-quarter earnings before interest and taxes (EBIT).

Raisio will also sell its Nordic trademark, which Raisio Nutrition used among others in the Russian and Belarusian markets, to Estonian company Nordgate Trading.

"The agreements concluded will allow a rapid and controlled exit from Russia", Raisio's chief executive Pekka Kuusniemi said in a statement, adding that the decision is in line with its values after Russia's invasion of Ukraine.

The sale, which Raisio said will not significantly affect its other business operations, is expected to be completed by the end of May.

In 2021 Russia contributed 13% to Raisio's net sales.

The company also said it would recognise an impairment loss of 4.1 million euros on its fish farm food business Raisioaqua's fixed assets in its first-quarter EBIT as exports of fish feed to Russia were suspended following the invasion of Ukraine.

($1 = 0.9504 euros)

(Reporting by Marta Frackowiak; Editing by Jan Harvey and Jane Merriman)