McDonald’s said Thursday it has struck a deal to sell its Russian business to its current licensee in the market, Alexander Govor.
McDonald’s said Thursday it has struck a deal to sell its Russian business to its current licensee in the market, Alexander Govor. Govor will acquire all of McDonald’s locations in Russia and will operate them under a new brand. He also agreed to retain employees for at least two years, on equivalent terms, and fund the salaries of corporate employees who work in 45 regions of the country until the deal closes and existing liabilities to suppliers, landlords and utilities. Financial terms of the deal were not disclosed. McDonald’s said on Monday that it expects to record a noncash charge of $1.2 billion to $1.4 billion related to its net investment in Russia and foreign currency losses.
