Yandex co-owner to increase ownership stake in competitor tech firm VK

Pavel Prass, a co-owner of Russian tech giant Yandex, is set to deepen his involvement in rival company VK through a firm in which he holds a minority stakeю

The move was announced in a statement by VK on April 11, Caliber.Az reports citing Russian media.

The move comes as VK prepares to raise up to 115 billion rubles ($1.37 billion) through a secondary share issuance, aimed at reducing its significant debt burden. The share placement price has been set at 324.9 rubles (approx. $3.9) per share, based on the three-month weighted average on the Moscow Exchange from December 18, 2024, to March 18, 2025.

Prass's expanding presence in VK coincides with major shifts in the Russian tech landscape. In July 2024, a $5.4 billion deal involving both cash and shares resulted in the end of foreign ownership in Yandex, which is widely regarded as "Russia’s Google." The consortium that acquired Yandex’s Russian assets included senior Russian Yandex managers, a fund managed by oil giant Lukoil, and three firms owned by Alexander Chachava, Alexander Ryazanov, and Prass.

Prass’s investment influence is growing across both tech giants. He is the CEO of the "Infinitum" depository and also the founder of JSC "IT.Razvitie," which holds a 15% stake in the closed-end investment fund “Consortium.Pervy.” This fund was instrumental in acquiring Yandex from the Dutch-based Nebius (formerly Yandex), paying 475 billion rubles (approx. $5.4 billion) for the company’s Russian business.

At the same time, VK's ownership structure has undergone major changes. In 2018, Alexander Kalin held 78% of the company, and Olga Bulantseva owned 22%. By 2024, new shareholders included JSC "Independent Alliance" (30.3%), JSC "Professional Builder" (25.1%), Vladislav Brylkov (25.1%), and Pavel Prass (19%).

Now, a fund linked to one of Yandex’s current owners is becoming a VK stakeholder, hinting at potential future collaboration—or competition—between Russia’s two largest IT companies. Despite VK’s reported net loss of over $1 billion in 2024, it is pushing forward with its recapitalization plan through this new share issue.

VK’s confirmation of Prass as an existing shareholder reinforces a trend of consolidation and crossover in Russia’s tech sector, as strategic investors like Prass position themselves across multiple major platforms.

By Nazrin Sadigova