Yandex N.V. Provides Strategic Update on Potential Changes to the Group’s Corporate Structure

Rhea-AI Summary

Yandex N.V. has initiated a strategic review of its ownership and governance structures amid current geopolitical challenges. The Board of Directors formed a special committee to evaluate various scenarios, including the independent development of international services and the divestment of existing operations in Russia. Potential governance transfers to management are also on the table. While the process is in its early stages and hinges on shareholder approval, Chairman John Boynton emphasized the commitment to protecting shareholder value and employee opportunities.

Positive

• Initiation of strategic review may lead to better ownership structure.
• Potential for independent growth of international divisions.

Negative

• No assurance of successful divestment or restructuring outcomes.
• Dependence on shareholder approval introduces uncertainty.

AMSTERDAM, THE NETHERLANDS / ACCESSWIRE / November 25, 2022 / Yandex N.V., the Dutch parent company of the Yandex group, announced today that its Board of Directors has commenced a strategic process to review options to restructure the group's ownership and governance in light of the current geopolitical environment, with a view to ensuring the sustainable development and success of the group's diverse portfolio of businesses over the longer term.

A special committee of the Board has been charged with exploring a variety of potential scenarios and steps, including:

• Development of the international divisions of certain services (including self-driving technologies, cloud computing, data labeling, and ed-tech) independently from Russia.
• Divesting Yandex N.V.'s ownership and control of all other businesses in the Yandex Group (including search and advertising, mobility, e-commerce, food-delivery, delivery, entertainment services and others in Russia and international markets), including transferring certain elements of governance to management.

The Board anticipates that Yandex N.V. will in due course be renamed, with the business to be divested retaining exclusive rights for the use of the Yandex brand.

This process is at a preliminary stage. There can be no assurance that the Board will be successful in identifying and implementing paths to executing these steps, including identifying buyers for stakes in the business to be divested. These steps will be subject to continued analysis and, ultimately, shareholder approval. We will update the market as and when we have further information in this regard.

John Boynton, Chairman of Yandex Board of Directors, commented: "These are exceptionally challenging times.Please be assured that as we analyze different strategic options, we will do everything possible to protect value for our public shareholders and preserve opportunities for the 20,000 employees who have made Yandex one of Europe's most successful technology companies."

Contacts:

Investor Relations

Yulia Gerasimova
Phone: +7 495 974-35-38
E-mail: askIR@yandex-team.ru

Press Office

Ilya Grabovskiy
Phone: +7 495 739-70-00
E-mail: pr@yandex-team.com

SOURCE: Yandex N.V.

View source version on accesswire.com:
https://www.accesswire.com/728489/Yandex-NV-Provides-Strategic-Update-on-Potential-Changes-to-the-Groups-Corporate-Structure

FAQ

What is the purpose of YNDX's strategic review?

YNDX's strategic review aims to restructure ownership and governance to ensure long-term sustainability amid geopolitical challenges.

What businesses are YNDX considering to divest?

YNDX is considering divesting its operations including search, advertising, and mobility services in both Russia and international markets.

What changes are expected for YNDX in the future?

YNDX anticipates possible renaming and restructuring of its operations, particularly in international divisions.

Is there a timeline for YNDX's restructuring process?

The restructuring process is at a preliminary stage, with updates to be provided as new information becomes available.

What has YNDX's chairman said about the strategic review?

Chairman John Boynton stated that the Board will strive to protect shareholder value and employee opportunities during these challenging times.