Yandex to divest its Russia-based businesses

Weird accounting tricks in Russia include "the new nobility" making you offers that you cannot refuse. This is a country in which the FSB (equivalent of the FBI) is running their own protection rackets, even on a small scale of a local shop. Property law works very differently over there, which is to say it doesn't quite exist.

Re: Yandex to divest its Russia-based businesses

#5

Post by r721 » Mon, Feb 05, 2024, 8:38 AM UTC

shp0ngle wrote: post #3

Huh? What are their other businesses then? Is this some weird accounting trick?

Yeah, it's some complex deal, which is hard to make sense of. Here's a Bloomberg story:

>Yandex Parent Cuts Ties to Russia in $5.2 Billion Unit Sale

https://www.bloomberg.com/news/articles/2024-02-05/yandex-pa...

And here's FT:

>Search engine Yandex to sell Russian operations for $5bn

https://www.ft.com/content/1f965442-e3f9-46dc-ae4d-ef2e05740...

Re: Yandex to divest its Russia-based businesses

#6

Post by ssijak » Mon, Feb 05, 2024, 8:40 AM UTC

H8crilA wrote: post #4

shp0ngle wrote: post #3

Huh? What are their other businesses then? Is this some weird accounting trick?

Weird accounting tricks in Russia include "the new nobility" making you offers that you cannot refuse. This is a country in which the FSB (equivalent of the FBI) is running their own protection rackets, even on a small scale of a local shop. Property law works very differently over there, which is to say it doesn't quite exist.

You can refuse, but then your chance of dying by "falling off the balcony" goes up dramatically.

Re: Yandex to divest its Russia-based businesses

#7

Post by piannucci » Mon, Feb 05, 2024, 8:40 AM UTC

apapapa wrote: post #2

Where are they from now? Not that it matters much.

Wiki says they're incorporated in Netherlands.

Re: Yandex to divest its Russia-based businesses

#8

Post by gtirloni » Mon, Feb 05, 2024, 8:42 AM UTC

50% discount for Russian oil oligarchs. I guess they really think Russia will continue to cut ties with the rest of the world for a very long time and are cutting their losses now.

Re: Yandex to divest its Russia-based businesses

#9

Post by kaaaate » Mon, Feb 05, 2024, 8:43 AM UTC

https://archive.is/Gghfq

Re: Yandex to divest its Russia-based businesses

#10

Post by splitbrain » Mon, Feb 05, 2024, 8:44 AM UTC

shp0ngle wrote: post #3

Huh? What are their other businesses then? Is this some weird accounting trick?

The article mentions them:

  Following completion of the sale transaction, YNV will retain a portfolio of international businesses and other non-Russian assets, including four early-stage technology businesses and other assets: 
  
  * Nebius AI, an AI cloud platform that is one of the largest providers of GPU capacity in Europe; 
  * Toloka AI, a data solutions partner for GenAI and Large Language Model development; 
  * Avride, one of the leading developers of self-driving technologies;
  * TripleTen, an EdTech service that equips people with in-demand tech skills;
  * our data center located in Finland; and 
  * minority investments in other technology businesses.

From what I understand, this means basically that they are selling search and associated services that are mostly popular in Russia to some Russian consortium. Bringing Yandex under complete Russian control, without influence from western shareholders.

Those western shareholders (YNV) get a bunch of money and the above AI related subsidaries located outside of Russia.