The completion of Nasdaq-listed Russian tech company Yandex’s restructuring is expected to be postponed until early 2024, according to three sources familiar with the negotiations. Yandex, often referred to as “Russia’s Google”, was on track to become a global business until the Russian invasion of Ukraine in February 2022. Yandex and the Kremlin have been negotiating for over a year to spin off Yandex’s Russian businesses from its Dutch parent company, Yandex NV. The Dutch holding company has been working on a restructuring to ensure some of its businesses retain access to Western markets despite sanctions against Moscow. The deal, initially expected to be reached in December, will require approval from shareholders and the Russian government.

Yandex plans to recoup shareholder funds by selling its main revenue-generating Russian businesses, including its search and ride-hailing operations. The company then aims to develop four other business lines internationally. While the restructuring process has made “great progress” and all documents have been handed to lawyers, it is uncertain if the work will be completed this month, according to one of the sources. Another source stated that the goal now is to finalize the deal in the first quarter, while a third source expects it to be completed in early 2024. Russia’s central bank recently registered an issuance of shares for MKAO Yandex, a new company being set up in Kaliningrad as part of the restructuring.

Yandex declined to comment on the status of the restructuring process. To stay updated on technology and startup news, subscribe to our daily newsletter for the latest updates delivered straight to your inbox.