Putin seizes control of Gławprodukt to aid war effort
The US-registered holding company Gławprodukt, a giant in the canned food market, has come under Russian state control. The decision regarding the company was made by none other than Vladimir Putin.
Gławprodukt is the leader in canned food production in Russia. The company produces canned dishes, meat, condensed milk, fish, and vegetables. Now, the company will come under Russian control, reports Business Insider.
The decision follows actions by the Kremlin in April 2023. Vladimir Putin authorized the government to take over the assets of foreign firms operating in Russia. This move was primarily directed at companies the Kremlin deemed "hostile," interpreted in the West as retaliation for the freezing of Russian assets amounting to approximately $300 billion USD. Now, a similar decision has been made regarding the canned food producer Gławprodukt, it is reported.
The company will support the Russian army
According to the Russian newspaper "Kommersant," the company is headed by American businessman Leonid Smirnov, who emigrated from the USSR in the 1970s and returned to Russia in the 1990s.
Business Insider reports that the company's production capacity will now be used to support Russian actions in Ukraine. "Surely, the company's production capacities will now support Russia's invasion of Ukraine," it reads.
