Yum Brands has entered into an agreement and sale with Smart Service, which is operated by existing KFC franchisees Konstantin Yurievich Kotov and Andrey Eduardovich Oskolkov in Russia, the company said Monday. The sale will transfer ownership of Yum’s 1,112 KFC restaurants, as well as its operating system and master franchise rights, which include the network of KFC franchised units.
Smart Service will be responsible for rebranding the locations to a non-Yum brand and will “be responsible for retaining” all of Yum’s employees in Russia, according to the press release. Once the deal closes, Yum will have ceased all operations in the country.
Yum sold its Russian Pizza Hut operations in June to a local operator, who will also rebrand the concept there. Other chains have sold their restaurants in Russia in recent months, including McDonald’s, while Starbucks ceased operations in May. These brands and others have been looking to decrease their footprints or operations in Russia following the country’s invasion of Ukraine.