Sergey Khanaev Comments on an Article on Return of Foreign Companies to the Russian Market Published in Vedomosti

On February 27, 2025, Vedomosti published an article on the prospects for the return of foreign companies to the Russian market.

The article includes a commentary from Sergey Khanaev, Partner in ALRUD Corporate/M&A Practice. He pays attention to the key factors determining the success of foreign brands return. According to Khanaev, the best chances for reintegration are for those companies that were previously not only active at the Russian market, but localized production here, and generated a significant proportion of their global revenue through the Russian segment. The expert notes that many major corporations, when leaving Russia, provided for the possibility of the asset buyback using call-options.

These are just the kind of companies that can return faster and more efficiently as they have retained infrastructure and business relations in Russia. Sergey Khanaev says

Moreover, he emphasizes that during the years of absence of foreign players the Russian market has changed: new competitors and owners have emerged, and consumers have partly adapted to alternative products. That is why reintegration of even major brands does not guarantee them the previous positions – they will have to win back the clients’ confidence and loyalty.