The largest digital company in Russia, Yandex, announced that it has acquired Uber's share of their joint taxi venture for $702.5 million, taking sole ownership of the Yandex Taxi company and ending Uber's presence in Russia.
"As a result of the deal, Yandex will become the sole owner of the group, which includes a taxi ordering service, carsharing and scooter rental," Yandex said in a statement.
Uber sold its shares in a joint venture with Yandex for foodtech and delivery in 2021. In order to merge their ride-sharing operations in Russia and its neighbours, the companies teamed up there in 2017.
In exchange for that $1 billion, Yandex acquired a $2 billion call option to acquire the remaining 71% of Uber's investment in a second ride-hailing joint venture.
A government panel must now approve corporate withdrawals from Russia due to financial outflows and unprecedented sanctions against Moscow as a result of the conflict in Ukraine.
Yandex reported that the deal had regulatory approval. Measures put in place in late December state that asset sales are permissible as long as the buyer receives a 50% discount after an independent valuation.
No discounts were mentioned by Yandex. Uber could not be reached for comment right away.