Putin was urged to impose temporary administration over Nestlé's operations in Russia
Vladimir Putin has been urged to impose temporary administration on the Russian operations of the Swiss company Nestlé—one of the world’s largest food manufacturers. KS Logistics LLC submitted a proposal to this effect to the President of the Russian Federation.
According to sources interviewed by the publication, “KS Logistics” is a little-known company that supplies German power tools to Russia.
At the same time, sources suggest that the organization may be representing the interests of other entities.
KS Logistics allegedly explains the need for temporary management by stating that Nestlé’s Russian subsidiaries do not plan to expand their production capacity and have halted exports of goods manufactured in Russia.
The proposal concerns five companies:
- Nestlé Russia LLC;
- “Nestlé Kuban”;
- “Serial Partners Rus”;
- “CPB Nestlé”;
- Atrium Innovations Rus.
According to one of Kommersant’s sources, the company’s request is currently under review by the office of Russian Deputy Prime Minister Dmitry Patrushev. A response is expected by the end of the year.
At the same time, Nestlé’s Russian office stated that it had not received any requests from government agencies regarding the possible imposition of temporary administration.
The company emphasized that its offices and production facilities continue to operate in Russia, and all obligations are being fulfilled. According to Nestlé, investments in 2022–2025 were directed toward supporting production.
In total, Nestlé has six production sites in Russia, located in the Kaluga, Vologda, Samara, and Vladimir regions, as well as in the Perm and Krasnodar territories.
The company’s Russian facilities produce coffee, confectionery, baby food, and pet food.
Estimates of the value of Nestlé’s Russian business vary significantly.
Mikhail Burmistrov, CEO of Infoline-Analytics, estimates its value at 160–170 billion rubles, including retained earnings.
M&A consultant Ivan Peshkov estimates the assets at 130–150 billion rubles, though he acknowledges that the value could be lower if the buyer does not acquire the rights to Nestlé’s brands in Russia.
Under current Russian regulations, temporary administration of foreign companies’ assets may be imposed in the event of a security threat or as a reciprocal response to restrictions on the rights of Russians, explained Natalia Popravko, managing partner at “Popravka Biznesa.”
She noted that in 2023, external administration of Danone’s and Baltika’s assets was imposed against the backdrop of already agreed-upon deals to sell their Russian businesses.
Natalia Strelkova, a senior consultant at Kamenskaya & Partners, noted that the law does not establish a clear procedure for selecting a temporary administrator. Therefore, the President of the Russian Federation may transfer the assets to either Rosimushchestvo or another entity.
Formally, temporary administration does not imply the seizure of an asset; however, in practice, following such a procedure, the business may be transferred to a Russian owner through confiscation or sale.
Thus, the initiative regarding Nestlé could become yet another example of pressure exerted by Russian authorities on the assets of foreign companies that continue to operate in the Russian market.
This is reported by Russian media, citing informed sources.
As a reminder, Nestlé plans to invest approximately 10 billion hryvnias in Ukraine. In the first half of 2026, the company’s sales in the Ukrainian market grew by 19.3% in monetary terms and by 10% in volume, while the FMCG segments in which Nestlé operates showed growth of 15% in value and 6% in volume.
