McDonald's Corporation has entered into a sale and purchase agreement with licensee Alexander Govor.
Following its announcement that it will exit the Russian market and has initiated a process to sell its Russian business, McDonald's Corporation has now announced that it has entered into a sale and purchase agreement with its existing licensee Alexander Govor.
Under this agreement, Mr. Govor will acquire McDonald's entire restaurant portfolio
and operate the restaurants under a new brand
. Since 2015, Govor
has served as a McDonald's licensee and has operated 25 restaurants in Siberia
The agreement remains subject to certain conditions, including regulatory approval, with closing expected to occur in the coming weeks.
The sale and purchase agreement
provides for employees to be retained for at least two years
, on equivalent terms. The buyer has also agreed to fund the salaries of corporate employees who work in 45 regions of the country until closing, as well as fund existing liabilities to suppliers, landlords and utilities.