A former Russian deputy transport minister has acquired a controlling stake in weapons maker Kalashnikov, the company said on Friday, as reported by Reuters.
Alan Lushnikov, who served as deputy transport between 2017 and 2018, has acquired a 75% stake minus one share in Kalashnikov via a firm called TKH-Invest.
Lushnikov acquired the stake from Deputy Defense Minister Alexei Krivoruchko, who was among the high-ranking Russian officials hit with European Union sanctions last month over the poisoning of Kremlin critic Alexei Navalny.
State conglomerate Rostec owns the remaining 25% plus one share in Kalashnikov.
The arms maker has been under U.S. sanctions since 2014, in the wake of Moscow’s annexation of Crimea from Ukraine and its support for pro-Russian separatists in the country’s east.
Kalashnikov did not disclose the terms of the deal.
A financial market source told Kommersant newspaper that the deal could be worth as much as 1 billion rubles ($12.91 million).