Russia Returns Control of Ariston’s Local Subsidiary to Parent Company

Russia Returns Control of Ariston’s Local Subsidiary to Parent Company

Russia: Russian President Vladimir Putin has signed an order reversing the temporary state management of Ariston Holding NV’s Russian subsidiary, following lobbying efforts by the Italian government. Ariston Group welcomed the decision and confirmed plans to resume operations in Russia while adhering to existing sanctions. The company’s local unit had been placed under the control of state-owned Gazprom PJSC’s appliance division in April 2023, under a decree allowing asset takeovers of businesses from “unfriendly” states in response to international sanctions. 

The Italian government, along with European business associations, worked to resolve the matter, with Italy’s foreign minister summoning Russia’s ambassador after the initial seizure. Russia has previously used similar measures to assume control of subsidiaries belonging to foreign companies such as Danone, Carlsberg, Fortum, and Uniper. While some firms have managed to regain ownership before selling assets to Kremlin-approved buyers, it remains uncertain whether Russia will allow other foreign businesses to reclaim control. Ariston, which generated EUR 100 million (USD 107 million) in revenue from Russia in 2023, owns a water heating manufacturing facility near St. Petersburg.

Source: Yahoo