Yandex N.V. Successfully Initiates Divestment of Russian Operations

Yandex N.V., an international technology conglomerate, has commenced the divestment of its Russian and certain international businesses. The initial part of the transaction was finalized with a 68% stake in the targeted businesses sold to an unnamed purchasing consortium. This phase of the sale was valued at approximately RUB 475 billion ($5.2 billion). The deal also includes an agreement for payment through a combination of cash and Yandex’s Class A shares.

The divestment aligns with strategic adjustments and simplifications in Yandex’s corporate governance, which included substantial changes post-ratification of modified articles of association. Such amendments involved removals of the priority share previously held by the Public Interest Foundation and shifts in Board composition, signaling a pivot towards a more streamlined governance structure.

Yandex anticipates the completion of this divestment by mid-July when the remainder of the business will be transferred to the consortium. The transaction’s closure will mark Yandex's exit from Russian markets but involves continued interests in four global businesses and additional non-Russian assets, such as a state-of-the-art data center in Finland. Post-transaction efforts will focus on developing these retained businesses and rebranding the group under a new name, with further plans to reintroduce Class A shares trading on Nasdaq halted since the transaction onset.