Russia Seizes Danone, Carlsberg Assets

Moscow has seized control of the Russian subsidiaries of French yogurt maker Danone and Danish brewer Carlsberg, highlighting risks facing foreign firms that continue to do business in the country, Hanna Ziady and Mariya Knight reported for CNN.

Photo Insert: Foreign-owned stakes in Danone’s Russia business, and Carlsberg’s stake in local brewer Baltika were put under the “temporary management” of Russia’s federal property agency via a decree.

In a decree signed by Russian President Vladimir Putin Sunday, foreign-owned stakes in Danone’s Russia business, and Carlsberg’s stake in local brewer Baltika were put under the “temporary management” of Russia’s federal property agency.

The decision follows a decree Putin signed in April that allows the government to place foreign assets in the country under its temporary control if Russian assets abroad are seized or threatened.

At the time, the Russian government took control of utilities owned by German energy company Uniper and Finland’s Fortum Oyj. The latest move could increase the pressure on Western firms — which already face intense criticism for remaining in Russia — to leave the country.

More than 1,000 companies exited Russia in the months following Putin’s full-scale invasion of Ukraine last year.

But a number of businesses, including Heineken, Nestlé, Unilever, and Mondelez, have for various reasons kept a presence in the country. Companies still in the process of leaving Russia may now feel a fresh sense of urgency to do so.

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