The French retailer found buyers for its Russian assets.

After years of criticism for doing business in the aggressor country and even helping the Russian military, the French hypermarket chain Auchan has decided to leave the Russian market. It is not in negotiations with two potential buyers and will seek approval from the government to sell its assets in Russia, according to two French publications, La Lettre and Le Figaro.

The reports said Auchan’s business conditions in Russia deteriorated since the invasion of Ukraine in February 2022, with Western sanctions playing a significant role. The company neither invests in Russia not is able to withdraw its profits from the country – unlike local competitors which at least have the opportunity of pouring its revenues back in the business.

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According to Kommersant, a Russian business outlet, the local retailers Lenta and Magnit were the potential buyers of Auchan’s business in Russia. X5 Group, which operates the supermarket chains Pyatiorochka and Perekriostka, is a third candidate for those assets.

Auchan’s Russian division denied the allegations of withdrawal from the country. The retailer had been under pressure for its initial decision to remain in Russia and in 2023 three publications – LeMonde, TheInsider and Bellingcat revealed in an investigation that Auchan had supplied food, clothing, and other materials to Russian army units in Ukraine.

Danone and Carlsberg, which abruptly left the Russian market shortly after the invasion, had their assets nationalized at the orders of Kremlin leader Vladimir Putin.

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