After announcing its withdrawal from the Russian market last week, the US restaurant chain McDonald's has recently sold its business in Russia to local franchisee alexandergovor. According to McDonald's, the sold restaurants will no longer use McDonald's name, logo, brand and menu, and Gower will operate these restaurants with a new name.
It is reported that McDonald's Russia branch said on the 27th that it had registered five new brand names with the Russian patent office, of which four possible new names are: "fun and taste", "the same one", "just like that" and "open checkout".
According to people familiar with the matter, the company has not finally decided on the name to be used. "No name is similar to McDonald's. The most likely thing is to choose a name similar to the known advertising language on the Internet." It is reported that among the many advertising slogans used by McDonald's, "I'm lovin'it" (I like it) is one of the most classic and well-known advertising slogans.
After the outbreak of the conflict between Russia and Ukraine, McDonald's announced in March that it had temporarily closed its 847 stores in Russia, but was still paying the wages of 62000 Russian employees. On May 16 local time, the company announced that it would end its catering chain business which had been operating in Russia for more than 30 years. Subsequently, McDonald's announced that it would package and sell its business in Russia to Russian franchisee gowal.
It is reported that the billionaire govor started his business by mining and oil refining. In 2015, he opened 20 McDonald's stores through his company GID LLC, and became the second franchisee of McDonald's in Russia. Before McDonald's withdrew from the Russian market, gowal operated 25 McDonald's restaurants in Siberia. In addition, Gower is currently the co owner of a construction investment company and owns an oil refinery.
According to the sales contract, Gower will operate its acquired McDonald's stores with new brands and new menus. In the next two years, govor will retain the 62000 employees of McDonald's in Russia and agree to continue to pay wages to these employees.
At the same time, the new boss will continue to pay related funds with third parties such as suppliers, store lessors and utility providers. McDonald's said earlier that the store sale was expected to be completed within a few weeks. If the new name of the store is determined, these restaurants are expected to open with the new brand name in mid June.