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Putin seizes Nestlé and Auchan assets in Russia's biggest Western business crackdown since 2024

From the Newshound archive · first published 19 September 2026.

Nestlé's Russian-market Kit Kat bars, whose production across six Russian factories was seized by Vladimir Putin and transferred to a Moscow shell company, L.E.V.
Nestlé's Russian-market Kit Kat bars, whose production across six Russian factories was seized by Vladimir Putin and transferred to a Moscow shell company, L.E.V.

Vladimir Putin has signed a presidential decree transferring control of Nestlé's Russian operations to L.E.V. Management, a Kremlin-linked firm. The move strips the maker of KitKat and Nescafé of authority over its six Russian factories and around 7,000 employees. French retail giant Auchan was caught up in the same decree. Nestlé's shares fell by as much as 2.4% on Friday, and the Swiss government said it is working with the company to challenge the decision. Kremlin spokesman Dmitry Peskov pointed to the "hostile actions" of "unfriendly" European countries as justification.

Nestlé, which has operated in Russia since 1995, earns an estimated two billion Swiss francs annually from the country — roughly 2% of its global revenues.

Since 2022, Russia has seized foreign private assets worth over $50 billion, using the same legal mechanism it previously applied to take over Carlsberg and Danone's Russian operations.

Kremlin spokesman Peskov singled out European nations supplying weapons to Ukraine, and said Switzerland had drawn Moscow's anger by imposing sanctions.

MoreThe TimesNestlé ‘asseses options’ after the Kremlin seizes its assetsFinancial TimesRussia seizes control of Nestlé and Auchan operationsReutersExplainer: What we know about Russia's move to take control of Nestle, Auchan assetsAPKremlin orders businesses seized
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