Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Putin removes Danone's Russian unit from temporary state management

Published 13/03/2024, 17:49
© Reuters. A Danone logo is pictured during the International Agriculture Fair (Salon International de l'Agriculture) at the Porte de Versailles exhibition centre, in Paris, France, February 27, 2024. REUTERS/Benoit Tessier

MOSCOW (Reuters) -Russian President Vladimir Putin signed a decree on Wednesday to remove Danone (LON:0KFX)'s Russian business from a list of assets placed under temporary Russian state management.

The Financial Times reported in February that a Russian businessman who flaunts his pro-war credentials on Instagram was planning to take over the Russian assets of the French dairy products company for 17.7 billion roubles ($191.52 million), months after Moscow seized temporary control.

Citing a letter sent to Agriculture Minister Dmitry Patrushev, the FT in February said the French dairy products group was planning to sell its Russian operations to a member of the Kremlin-installed management team, led by Yakub Zakriev, a nephew of Chechen leader Ramzan Kadyrov.

Danone in February had declined to comment on the FT report.

© Reuters. A Danone logo is pictured during the International Agriculture Fair (Salon International de l'Agriculture) at the Porte de Versailles exhibition centre, in Paris, France, February 27, 2024. REUTERS/Benoit Tessier

The deal would mark the latest Western asset transfer into Kremlin-friendly hands at a heavily discounted price, after scores of foreign companies sold or abandoned their businesses in Russia following Moscow's February 2022 invasion of Ukraine.

The Kremlin placed Danone's Russian assets under temporary management in July 2023 in retaliation against sanctions on Russian companies abroad.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.