Gazprombank, one of Russia's largest banks that is also under heavy U.S. sanctions, is reportedly poised to acquire the Russian operations of the Auchan retail chain, according to sources cited by Le Monde on Oct. 25.
Auchan, a French hypermarket chain, remains one of the last Western businesses operating in Russia after many companies exited the market following Russia's full-scale invasion of Ukraine.
At the start of the full-scale invasion, Russia reportedly accounted for 10% of Auchan's global sales. Auchan CEO Yves Claude noted that 30,000 people, including 40% of employees and shareholders, could lose their jobs if the company exited the market.
In March 2022, Auchan CEO Yves Claude told the outlet Journal du Dimanche that the company would not leave Russia despite accusations of financing the war, citing the need to keep employees and continue "feeding the populations of both Ukraine and Russia."
Yet, French media reported on Oct. 24 that Auchan was in the final negotiations to sell its Russian subsidiary to a local buyer and is expected to finalize the sale in the coming weeks.
The potential buyer was not named in the previous reporting, only that Auchan was reportedly eager to sell as Russia's "exit tax" has increased from 10% to 15%, with the potential to reach 35%.
As Le Monde noted, Gazprombank purchased the Mega shopping center chain from Ikea, which included 14 locations across Russian, and housed Auchan stores.
Gazprombank has been under U.S. sanctions since 2014, with additional sanctions announced by the U.S. and U.K. in 2022 following the onset of the full-scale war. In January 2023, Russian state-controlled media announced that U.S. banks stopped dollar transfers for Gazprombank.
Kateryna Hodunova
(Updated: )
