Russian President Vladimir Putin signed a decree on Thursday to seize the assets of Swiss food giant Nestlé and three French groups. The assets are being transferred to a company called LEV Management and placed under temporary external administration. This move represents the Kremlin’s largest takeover of foreign corporate assets since at least 2024.
The seizure is a response to Western sanctions against Moscow over the Ukraine conflict. While many Western companies quickly sold their Russian operations and holdings after the full-scale invasion of Ukraine, the Kremlin has since made it difficult for firms to leave the country.
Among the affected entities are French retailers Auchan and Leroy Merlin, as well as Lemana Pro. While Auchan and Lemana Pro state that their Russian operations continue as normal, Nestlé, the maker of KitKats and Nescafé, is currently assessing its options.
The Swiss government described the seizure of Nestlé's assets as a worrying development. Switzerland stated that it is working with the company to get the actions reversed.