Since 2022 a number of Russian entrepreneurs purchased assets of the western companies which have stopped their business in Russia. The acquisitions were made at a significant discount allowing the entrepreneurs to take advantage of the forced withdrawal of Western companies from the market due to sanctions.
According to the analytical agency AK&M, last year and the first half of 2023, foreign companies sold business in Russia for over $21 billion. Among them are the American packaging manufacturer Ball Corp., whose packaging production business was purchased by Arnest Group for $530 million. Besides that, Arnest Group has then the Russian assets of the Dutch brewing holding Heineken.
Russian business of McDonald's was relaunched after the purchase of the chain under the new name “Vkusno I tochka. [translation: “Tasty. Period.”]. The buyer noted that the transaction cost was “much lower than the market price.” Later in 2022, the American paper manufacturer Sylvamo Corporation sold its Russian subsidiary Silvamo Corporation Rus for $420 million to the management of the local branch of the corporation.
Regularly analyzing the market state and the business trends, TKM International Consulting concludes that the opportunities for new players always exist and the local companies are looking forward to jump on the vacant places after foreign brands leave. The process of import substitution in Russia is going on very intensively, opening new prospects for the entrepreneurs and manufacturers what favors the competition, technological innovations development, expanding the range of goods and services.
Source: https://www.rbc.ru/business/10/11/2023/654d6cf99a7947a80d6466c0