Europe — 2026-09-19

Russia Seizes Nestle and Auchan Assets Placing Western Companies Under Kremlin-Appointed Management

BLUFMoscow's seizure of Nestlé, Auchan, and Lemana Pro assets will likely lead to forced sale to Kremlin-connected buyers within twelve months, mirroring the Danone and Carlsberg precedent.

President Vladimir Putin signed a decree on September 17 transferring the Russian assets of Nestlé, French retailer Auchan, and the former Leroy Merlin chain (now Lemana Pro) to temporary administration under L.E.V. Management, a little-known firm headed by Interior Ministry Major General Andrei Krayushkin 123. The decree also covers Russian subsidiaries of French logistics firms FM Logistic and Bati Logistics 23. Kremlin spokesman Dmitry Peskov said the seizures targeted companies from "unfriendly" states he described as actively supporting Ukraine, without naming France or Switzerland directly 34. Nestlé, which operates six Russian factories employing roughly 7,000 people, said it is "assessing the situation" and will take "all necessary steps" to protect its rights 34. Auchan, which runs 230–241 stores with 30,000-plus employees, said it has requested clarification from Russian authorities 3. France's foreign and economy ministries jointly called on Moscow to reverse the decision 3.

Analysis
The transfer strips Nestlé, Auchan, and Lemana Pro of operational control without changing formal ownership, placing roughly 40,000 combined employees and six Nestlé factories under a Kremlin-linked administrator with no public business record. Permanent transfer of these assets to a new owner is likely within the next twelve months, following the pattern set by Danone and Carlsberg, where temporary administration preceded forced sale to Kremlin-connected buyers. We have high confidence in this judgment, which reflects consistent convergence across outlets on the administrator's profile, the decree's mechanics, and the precedent cases, leaving no indicators pointing toward reversal or negotiated exit.
4 sources
  1. Putin Signs Decree to Seize Control of Nestle Assets in Russia - Bloomberg
  2. Russia takes control of Nestle and Auchan assets - Euromaidan Press
  3. Russia seizes assets of Swiss food giant Nestle and three French firms - France 24
  4. Kremlin Seizes Nestlé and Auchan Assets in Latest Business Crackdown - The Moscow Times

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