Yandex NV divests Russia business for $5.2B
Yandex NV, the Amsterdam-based parent company of Russia's Yandex Group, is selling its operations in the country to a group of Russian investors for 475 billion rouble ($5.21 billion).
Why it matters: The deal marks the highest-valued exit from Russia since the country's war with Ukraine began in 2022.
Details: With the sale, Yandex NV is divesting itself from 95% of its revenue and assets.
- The price also comes at a 50% discount that Moscow places on companies from so-called "unfriendly" territories as a condition of exiting business in Russia.
- The buyers are a group of 50 managers, as well as business entities owned by investors Alexander Chachava, Pavel Prass and Alexander Ryazanov. Lukoil will own 10% of the business.
- Yandex NV is left with its international business
After the sale, Yandex NV would be left with its international businesses — employing 1,300 people — including self-driving technology and generative artificial intelligence as well as a data center in Finland.
Catch up quick: Founded in 1997, Yandex — nicknamed "Russia's Google" — includes a popular search engine and apps for food delivery, car-sharing and shopping.
- Yandex NV faced pressure to divest from Russia following its invasion of Ukraine and had been working on a sale since late 2022.
- Co-founder Arkady Volozh resigned as CEO in 2022 after he was sanctioned by the European Union over his support of Russian propaganda. He later condemned the invasion.
- Yandex NV's shares were halted on the NASDAQ shortly after the invasion.