Denuo advises Smart Service Nord on acquisition of AmRest business in Russia

Denuo has advised Smart Service Nord on the acquisition of 100% of shares in Russian companies owned by AmRest, a European holding. AmRest used to manage over 200 KFC restaurants in Russia as a sub-franchisee.

The acquisition was announced in February 2023 and, according to the announcement placed on the seller’s website, the final price of the transaction was EUR100 million. The seller estimates that the transaction might result in consolidated profit after tax of approximately EUR4 million. With the completion of the transaction, AmRest ceased its operations in Russia.

Denuo provided full legal and regulatory support for the transaction. The Moscow-based team was led by Corporate partner Igor Antonyan, alongside Antitrust partner Denis Gavrilov. They were assisted by Corporate legal directors Maria Shevchenko and Leonid Petrov, Corporate associate Dmitry Ostrey, Antitrust senior associate Karin Ovakimyan and associate Alexander Silakov. Tax matters were covered by partner Igor Venediktov.

The deal with AmRest denotes our client’s strong commitment to consolidating its own restaurants and chain franchise restaurants in order to further develop the whole network under the Rostic’s brand ensuring seamless operation and growth. We were delighted to have helped with the transaction and show off our ability to provide high quality services simultaneously on multiple fronts.

Igor AntonyanPartner

Denuo previously advised Smart Service on the acquisition of KFC’s business in Russia from Yum! Brands, a US fast food corporation. As part of the sale and purchase agreement, Smart Service acquired the rights to the Rostic’s brand and started the process of rebranding KFC restaurants in Russia. Several Rostic’s restaurants already operate in Moscow.