McDonald's to sell Russia business to current operator

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McDonald's has operated in Russia for more than 30 years and owns about 84% of its nearly 850 restaurants in the country.

McDonald's is selling its Russia business to its current licensee Alexander Govor and the restaurants would operate under a new brand, ending more than three decades of presence in the country following its invasion of Ukraine.

Govor, who runs the franchise operation through his firm GiD LLC, has been a McDonald's licensee since 2015 and had helped the burger chain expand into remote Siberia, where he operates 25 restaurants. The deal with Govor provides for employees to be retained for at least two years on equivalent terms, McDonald's said today.

Russia's Industry and Trade Minister Denis Manturov said the deal was the result of a"long and difficult" negotiation process and the government would provide Govor all the necessary assistance to set up operations.

 

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