Lukoil has agreed to sell its network of about 230 petrol stations in Poland, Latvia, and Lithuania to Austria's Amic Energy Management for an undisclosed amount, Russia's biggest private oil company announced on February 5.

The announcement follows shortly after CEO of Lukoil’s Baltic subsidiary Lukoil Baltija told local press in Lithuania a deal was imminent. The sale is part of a larger restructuring effort by the Russian company, which seen it offload retail networks in the Czech Republic, Slovakia, Hungary, and Ukraine. The Austrian company bought Lukoil's Ukrainian network in April 2015.

Officially, Lukoil has been saying the sales will serve the purpose of “optimising business in petroleum-product marketing,” but it is likely prompted by western sanctions, that have hit financing options for Russian companies.

Lukoil’s retail business in Lithuania and Latvia will be managed by UAB Luktarna and AS Viada Baltija, companies linked to the family of Ivan Paleichik, the CEO of Lukoil Baltija, the Russian company said in a statement. No information was given on the entity to manage Lukoil’s Polish network.

The acquisition is financed with a combination of equity- and debt financing and is expected to close in the second quarter of 2016 upon receipt of appropriate approvals from the competent authorities of the respective countries, Amic said in a statement.

“This acquisition is a further significant step to build up AMIC Energy’s fuel retail business in Central and Eastern Europe. Strategic partnership with VIADA and Luktarna creates a competitive operating platform in the Baltic markets and brings in a valuable local expertise and a strong management team.” said Gunter Maier, Managing Director of AMIC Energy.