The Altai-based beer and soft drinks producer Bochary has asked Russian President Vladimir Putin to place the business of Multon and Multon Partners under external administration—the companies that operate Coca-Cola’s former Russian operations.
The appeal was sent in October and, according to sources of Kommersant cited by Meduza, has already been forwarded to the Russian government. The initiative has received support from some deputy prime ministers responsible for the relevant sectors, but no official decision to change the management has been announced.
Company has not received notification of any changes
Multon Partners said that the company is managed by a local team and has not received any notifications of changes.
Multon is one of Russia’s major soft drinks producers and is owned by Coca-Cola Hellenic Bottling Company. After Coca-Cola discontinued its core operations in Russia in 2022, the company shifted its production to local brands such as Dobry, Rich, Moya Semya, Pulpy, Burn and BonAqua.
Shares fell by almost 19 percent
Reports about Bochary’s proposal led to a sharp decline in the shares of Coca-Cola Hellenic Bottling Company on the London Stock Exchange. The shares fell by almost 19 percent to £54 per share.
The case fits into the Russian authorities’ practice of placing the assets of Western companies under temporary administration. The affected companies include Auchan, Nestle, Metro Cash & Carry, the former Leroy Merlin network and Japan Tobacco International.
However, Bochary’s proposal does not yet mean a change in the ownership or management of Multon. No decree has been reported as issued, nor has the Altai-based producer been appointed as external administrator.
Sources: meduza.io, in.marketscreener.com