Russian subsidiaries of foreign companies placed under temporary administration have transferred billions of rubles for the needs of the army, Bloomberg reports. The funds have primarily been directed to the People’s Front. Everything for Victory! foundation, which purchases drones, vehicles, communications systems and other equipment for Russian troops.
The largest publicly reported donation was made by paint manufacturer AkzoNobel—around 2 billion rubles. The brewing company AB InBev Efes, retail chain Metro and electrical equipment manufacturer DKC each transferred 1 billion rubles.
Donations Were Made After Management Changes
According to data cited by Bloomberg, the transfers were usually made after changes in the management of the Russian subsidiaries. In October, The Bell reported that the Russian assets of Poland’s Can-Pack, placed under temporary administration, had transferred 1.5 billion rubles to the foundation in two installments at the beginning of the year. The former Russian subsidiary of Denmark’s Rockwool transferred an additional 600 million rubles.
The sums are small compared with the Russian state’s overall spending on the war. It is expected to exceed 17 trillion rubles this year. According to Bloomberg, however, the donations give the companies’ new management teams an opportunity to demonstrate support for the Russian authorities.
AkzoNobel Says It Has Lost Control
AkzoNobel of the Netherlands said that the parent company had completely lost control over its Russian assets and was learning about what was happening from the media.
“The parent company has completely lost control over the Russian assets and is learning the news about them from the media,” AkzoNobel said.AB InBev Efes and Italy’s DKC Europe Srl did not provide comment on the information about the transfers.
More Than 20 Foreign Companies Have Been Affected
In recent months, the Russian authorities have intensified the transfer of foreign companies’ assets under temporary administration. Those affected include retail chain Auchan, food manufacturer Nestlé, building materials chain Lemana PRO, formerly known as Leroy Merlin, Metro Cash & Carry and tobacco products manufacturer Japan Tobacco International.
Since January 2025, the assets of more than 20 foreign companies have been placed under temporary administration in Russia, Reuters reported at the end of October. Almost all companies that have lost control over their assets are European.
As a result, companies that can formally retain ownership but no longer manage their Russian subsidiaries find themselves facing decisions made by managers appointed in Russia. Some of these decisions also include financing supplies for the Russian army.
Sources: meduza.io, thebell.io