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- Russia is reportedly tightening the screws on firms looking to exit the country.
- Companies looking to sell their operations will now do so at a 60% discount, sources told Bloomberg.
- Foreign firms that left Russia have incurred over $100 billion in losses, a Reuters analysis found.
Businesses trying to leave Russia are facing painful costs in the form of taxes and forced discounts, people familiar with matter told Bloomberg last week.
Companies looking to sell their operations and exit Russia will now need to do so at a 60% discount on the sale value, up from the previously set 50% discount, the outlet reported on Friday, citing two people familiar with the matter.
Companies looking to leave are also facing a higher exit tax, with the tax rate rising to 35%, up from the prior 15%, the sources added.
The changes would represent even tighter restrictions in Moscow to prevent foreign firms and banks from abandoning the nation. Companies trying to exit Russia had already faced hefty losses over the past year, with firms valued at more than 50 billion rubles, or $514 million, also needing to get approval prior to leaving.
Foreign firms that exited Russia since the start of the Ukraine War have incurred losses of over $100 billion, according to a Reuters analysis published in March. Assets from a handful of top firms, like Shell and HSBC, have been sold at discounts as high as 90%, the analysis said.
Over 1,000 international firms have said they're pulling back to some degree from operations in Russia, according to a list maintained by the Yale School of Management. But over 1,700 foreign companies continue to operate in the nation, according to data compiled by the Leave Russia project.