Moscow Assumes Temporary Management of Another Major Beer Company
Russia has placed AB InBev Efes’ joint venture under local control, disrupting the brewing giant’s strategy to exit through a partnership with a Turkish company. Read Full Article at RT.com
TroibNews 
The Russian authorities have intensified the difficulty for Western companies attempting to exit the local market.
On Monday, President Vladimir Putin issued an order granting control of AB InBev’s joint venture in Russia to a local company, effectively obstructing the multinational brewery’s plans to leave the country through an agreement with a Turkish partner. This move is part of a broader strategy, as Moscow has temporarily nationalized the local assets of several foreign corporations, including prominent beer producers.
The venture AB InBev Efes, operating in Russia, was established in 2018 through a merger of the assets of Belgium-based AB InBev and Türkiye’s Anadolu Efes. The partnership operates 11 plants across the country and includes a portfolio featuring brands such as Bud, Hoegaarden, Stella Artois, Lowenbrau, Klinskoe, and Sibirskaya Korona.
As per the presidential decree, all shares of AB InBev Efes Russia are now under temporary control of the Vmeste group of companies.
Earlier this year, Anadolu Efes and AB InBev, recognized as the world's leading beer producer by output, had reached an agreement to swap stakes in their businesses in Russia and Ukraine. If sanctioned by Russian authorities, this deal would have allowed the Turkish brewer to become the sole owner of the Russian operation, while AB InBev would take control of the Ukrainian unit. Initially, the Belgium-based corporation had planned to divest both units through a sale to Anadolu Efes, but the Kremlin objected to this arrangement.
Turkish newspaper Patronlar Dunyası reported earlier this month that the agreement was reached verbally, with Anadolu Efes expected to become the sole owner of AB InBev Efes.
The transfer of control to the Russian group resulted in a 10% decline in Anadolu Efes shares on Borsa Istanbul, while AB InBev shares fell by 1.5%.
In April 2023, President Putin signed a decree that allowed for the temporary seizure of assets belonging to foreign companies based in “unfriendly” countries. The Kremlin also implemented a regulation mandating that foreign firms exiting the Russian market must sell their assets at discounts of up to 50%.
Earlier this year, the Russian operations of the US-owned food manufacturer Universal Beverage Company were temporarily nationalized, with its assets transferred to the Russian Federal Property Management Agency, Rosimushchestvo. In 2023, the local assets of French food giant Danone and Baltika Breweries, previously controlled by Denmark's Carlsberg Group, were also placed under Rosimushchestvo's management.
Mathilde Moreau for TROIB News
On Monday, President Vladimir Putin issued an order granting control of AB InBev’s joint venture in Russia to a local company, effectively obstructing the multinational brewery’s plans to leave the country through an agreement with a Turkish partner. This move is part of a broader strategy, as Moscow has temporarily nationalized the local assets of several foreign corporations, including prominent beer producers.
The venture AB InBev Efes, operating in Russia, was established in 2018 through a merger of the assets of Belgium-based AB InBev and Türkiye’s Anadolu Efes. The partnership operates 11 plants across the country and includes a portfolio featuring brands such as Bud, Hoegaarden, Stella Artois, Lowenbrau, Klinskoe, and Sibirskaya Korona.
As per the presidential decree, all shares of AB InBev Efes Russia are now under temporary control of the Vmeste group of companies.
Earlier this year, Anadolu Efes and AB InBev, recognized as the world's leading beer producer by output, had reached an agreement to swap stakes in their businesses in Russia and Ukraine. If sanctioned by Russian authorities, this deal would have allowed the Turkish brewer to become the sole owner of the Russian operation, while AB InBev would take control of the Ukrainian unit. Initially, the Belgium-based corporation had planned to divest both units through a sale to Anadolu Efes, but the Kremlin objected to this arrangement.
Turkish newspaper Patronlar Dunyası reported earlier this month that the agreement was reached verbally, with Anadolu Efes expected to become the sole owner of AB InBev Efes.
The transfer of control to the Russian group resulted in a 10% decline in Anadolu Efes shares on Borsa Istanbul, while AB InBev shares fell by 1.5%.
In April 2023, President Putin signed a decree that allowed for the temporary seizure of assets belonging to foreign companies based in “unfriendly” countries. The Kremlin also implemented a regulation mandating that foreign firms exiting the Russian market must sell their assets at discounts of up to 50%.
Earlier this year, the Russian operations of the US-owned food manufacturer Universal Beverage Company were temporarily nationalized, with its assets transferred to the Russian Federal Property Management Agency, Rosimushchestvo. In 2023, the local assets of French food giant Danone and Baltika Breweries, previously controlled by Denmark's Carlsberg Group, were also placed under Rosimushchestvo's management.
Mathilde Moreau for TROIB News
