France-based dairy products giant Danone said Sunday that it will close operations at one of its two factories in Ukraine amid Russia's ongoing invasion there, but the company will continue to sell products in Russia.
In a March 6 website post, Danone said its other Ukraine plant was previously closed but has managed to resume operations.
"We have decided to suspend all investment projects in Russia, but currently maintain our production and distribution of fresh dairy products and infant nutrition, to still meet the essential food needs of the local population," the statement read, according to Reuters.
The news outlet followed by reporting that Danone shared fell by 3% on March 7.
Reuters quoted a Danone statement saying that the company would "suspend investments in Russia", but that the company would continue with selling its dairy and baby food in Russia, which is the company's third-largest market. About 6% of Danone's sales come from Russia and Ukraine, combined. The company owns Russian dairy subsidiary brand Prostokvashino, which Reuters noted has about 8,000 employees in Russia and 1,000 in Ukraine.
New Danone CEO Antoine de Saint-Affrique was one of a group of French business executives who met with France president Emmanuel Macron on March 4 to discuss the Russia-Ukraine situation.