Lithuania freezes assets of Mere store operator and two other companies

Lithuania's Financial Crime Investigation Service this week added three companies to its list of sanctioned entities and frozen their assets: Valiante, the operator of the Mere retail chain; warehouse company Next Logistics; and food trading company Litproduktai.

According to the agency, all three companies are indirectly controlled by Russian businessman Sergei Schneider, who holds 79% of Valiante's shares and 74.87% of shares in both Litproduktai and Next Logistics. Since more than half of each company's shares are controlled by a sanctioned individual, the agency said their assets had to be frozen.

Sanctions and their consequences

On July 23, Schneider was added to the European Union's 21st sanctions package for providing material or financial support to actions undermining Ukraine's territorial integrity, sovereignty and independence. The sanctions also applied to Mere operators in Lithuania, Latvia and other countries, forcing them to cease operations immediately.

As early as July 24, all Mere stores across Lithuania were abruptly closed, with the chain citing "technical reasons." The company had previously stated it operated 26 stores in Lithuania. Lithuania's Ministry of Economy and Innovation has voiced suspicion that individuals connected to Mere may continue operating under the Ola brand, which has already opened a store in Šiauliai.

Schneider, together with the founders and co-owners of Svetofor Group, oversees more than 2,200 stores in Russia and other countries under the Svetofor, Mere and MyPrice brands. In Latvia, Schneider also owns SIA Latprodukti, which manages the Mere store chain there — meaning the sanctions against him have also led to the closure of Mere stores in Latvia.