The group McDonald’s has announced that it has reached an agreement to sell its business in Russia to the businessman and partner of the franchise Alexandr Govorwhich will allow to preserve the 850 restaurants in the country and tens of thousands of jobs.
“Under the terms of the agreement, Mr. Govor acquires the chain’s entire restaurant portfolio and will develop it under a new brand,” McDonald’s said in a statement, noting that the Russian businessman has been a partner since 2015 and that 25 franchises opened by him operate in Siberia.
You will keep your employees
The agreement It still requires specifying certain conditions, including its authorization by the regulatory authorities, and it is expected that the final details will be finalized in the “coming weeks”.
“The contract of sale contemplates the preservation for at least two years of the Job positions in equivalent conditions for all employees,” emphasizes McDonald’s.
The buyeradds the press release, has also agreed to finance until the end of the transaction the salaries of the corporation’s employees who work in 45 regions of Russia, and will take care of obligations to suppliers, landlords and communal services.
The announcement of the agreement whose financial terms have not been disclosedoccurs three days after McDonald’s announced that it is definitively ending its activity in Russia.
McDonald’s CEO, Chris Kempczinski, noted then that he was proud of the more than 60,000 workers and that the decision to cease business in Russia was “extremely difficult”. But “our commitment to our values means we can no longer stay there,” he said.
great symbolic weight
The departure of the company from Russia has a great symbolic and economic weight.
The fast food chain was one of the first western brands established itself when it opened a branch in Moscow in 1990, just before the fall of the Soviet Union and shortly after it was demolished Berlin Wallfor which it became a symbol of the end of the cold war.
Eddie is an Australian news reporter with over 9 years in the industry and has published on Forbes and tech crunch.