Yum Brands close to selling KFC business in Russia

Yum Manufacturers brand is seen displayed on this illustration taken, Might 3, 2022. REUTERS/Dado Ruvic/Illustration

July 5 (Reuters) – Yum Manufacturers Inc (YUM.N) mentioned on Tuesday it was in superior talks to promote its KFC eating places and franchise rights in Russia to a neighborhood purchaser, after which it plans on totally exiting the nation.

The corporate opened its first KFC restaurant in Russia in 1995 and now has about 1,000 retailers within the nation, almost all of that are operated by impartial house owners underneath license or franchise agreements.

Western corporations leaving Russia over the invasion of Ukraine have sped up the tempo of their exits in current weeks as Moscow is advancing a brand new regulation that will permit it to grab property and impose felony penalties on overseas corporations. learn extra

McDonald’s Corp (MCD.N), an icon of American capitalism within the dying embers of the Soviet Union, offered its enterprise in Russia earlier this 12 months. Its eating places opened underneath new branding final month. learn extra

Yum Manufacturers additionally mentioned on Tuesday that it had accomplished the sale of its Pizza Hut enterprise in Russia to a neighborhood operator who’s re-branding the eating places. The monetary particulars of the sale weren’t disclosed.

Russian media reported final month the enterprise was purchased for 300 million roubles ($4.92 million) by Noi-M, which is linked to the operator of the Russian franchises of Costa Espresso and T.G.I. Friday’s.

Reporting by Uday Sampath in Bengaluru; Modifying by Aditya Soni

: .