Russia's VK drops Sberbank venture as part of Yandex tech deal (updated)

VK

23/08/2022 08:55

(Adds detail, background, Sberbank statement)
    MOSCOW, Aug 23 (Reuters) - Russian tech firm VK on Tuesday
said it had exited its joint venture with top lender Sberbank,
paving the way for a deal with competitor Yandex that may have
significant ramifications on Russia's internet industry. 
    Leading internet firm Yandex  YNDX.O  said it had agreed to
sell its news aggregator and yandex.ru homepage to
state-controlled rival VK, a move that will likely further limit
Russians' access to independent media.  urn:newsml:reuters.com:*:nL8N2ZZ167
    VK  VKCOq.L  said it had exited its O2O Holding joint
venture with Sberbank  SBER.MM , taking full control of food
delivery service Delivery Club in the process. 
    "The deal is expected to close before the end of 2022,
pending the receipt of a number of regulatory approvals," VK
said in a statement. 
    "Following deal closure, VK and Sber are to remain strategic
partners and will continue to cooperate in various areas."
    A Sberbank spokesperson confirmed that the lender was
considering various options for further development of joint
projects.
    VK, which runs Russia's largest social network VKontakte,
said it planned to transfer its entire stake in Delivery Club to
Yandex as part of a separate deal to acquire Yandex's Zen and
News content platforms.  
    That deal, which will also give VK's new portal the use of
Yandex's search bar and other services, is expected to be closed
by the end of 2022, pending regulatory approvals.
    The relationship between VK and Sberbank has not always been
smooth, with three sources telling Reuters last year the two
were on the verge of dividing assets due to a wide range of
disagreements. 
    In October, the two firms pumped an extra 12.2 billion
roubles ($203 million) into the venture, targeting technology
improvements and new market opportunities in the e-grocery
sector.  urn:newsml:reuters.com:*:nL1N2R3083
    ($1 = 60.1000 roubles)

 (Reporting by Reuters; editing by David Goodman and Jason
Neely)