Russia has taken control of the Russian subsidiaries of yoghurt maker Danone as well as beer company Carlsberg.
The units have actually been placed in “short-term administration” of the state, under a brand-new order authorized by Russian Head of state Vladimir Putin.
Moscow introduced regulations earlier this year enabling it to seize the assets of companies from “unfriendly” countries.
This came after lots of companies stopped business in Russia following its invasion of Ukraine.
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Danone as well as Carlsberg were in the procedure of offering their Russian operations.
Sunday’s order puts the shares of Danone Russia as well as the Carlsberg-owned Baltika Breweries under the control of Russian building firm Rosimushchestvo.
France-based Danone, which began the procedure to market its Russian organization last October, said it was “currently examining the scenario”.
The firm included that it was “preparing to take all needed measures to protect its rights as shareholder of Danone Russia, and also the connection of the procedures of the business”.
Carlsberg stated it had actually not received “any type of main info from the Russian authorities pertaining to the governmental decree of the effects for Baltika Breweries”.
The Danish brewer also stated it had actually finished an “considerable procedure” to divide the Russian device from the remainder of the business. Last month, the company signed a contract to sell Baltika Breweries but had actually not yet finished the bargain.
“Following the presidential mandate, the prospects for this sales process are currently very uncertain,” it added.
In April, Mr Putin authorized an order allowing Russia to take short-term control of international assets, in feedback to actions by the United States as well as other countries that Russia stated were “hostile and also as opposed to worldwide regulation”.
Additionally in April, it was announced that the Russian units of two energy business – Germany’s Uniper as well as Fortum of Finland, had actually been brought under state control.
Danone’s Russia operation is the country’s largest dairy company, with around 8,000 employees.
It was estimated that the sale of business would certainly lead to a EUR1bn ($1.1 bn; ₤ 860m) hit for Danone.
Meanwhile, Carlsberg subsidiary Baltika produces a few of the most recognizable beer brand names in Russia, with 8,400 staff members throughout eight plants, according to Carlsberg’s website.