Yandex, Russia’s leading search engine, has faced a major challenge due to the war in the country. Yandex NV, the Netherlands-based umbrella organization of Yandex, has taken an important decision regarding its assets in Russia.
Yandex Sells Russia Assets for $5 Billion
According to a major announcement released today, Yandex NV has sold all its assets in Russia to a group of Russian investors, including companies such as Lukoil, for $5 billion.
In October 2021, Yandex’s market capitalization on NASDAQ was as high as $82.8. However, with the war in Ukraine, the company quickly lost value and its current market capitalization has dropped to $6.8 billion. “We believe we have found the best possible solution for our shareholders, our teams and our users in these extraordinary circumstances,” said John Boynton, Chief Executive Officer of Yandex NV.
European Union (EU) Sanctions and Large Capital Outflows
The sale of Yandex stands out as one of the largest capital outflows ever seen by the European Union, which is facing heavy sanctions against Russia. On the other hand, the founder of the company, Arkadiy Voloj, left the company in December 2022.
These developments highlight the major change Yandex is going through and the economic challenges in Russia.
