Vladimir Potanin

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Vladimir Potanin
2021 Vladimir Potanin 1.png
Vladimir Potanin in 2021
Born3 January 1961 (1961-01-03) (age 60)
Alma materMoscow State Institute of International Relations (MGIMO) with the Ministry of Foreign Affairs.
OccupationChairman of Interros
Net worthIncrease US$31.7 billion (As of 17 April 2021)[1]
Spouse(s)Yekaterina Potanina
First Deputy Prime Minister of Russia
In office
14 August 1996 – 17 March 1997
Served alongside Viktor Ilyushin and Alexey Bolshakov
PresidentBoris Yeltsin
Prime MinisterViktor Chernomyrdin
Preceded byOleg Lobov
Succeeded byAnatoly Chubais
Boris Nemtsov
WebsiteInterros website

Vladimir Olegovich Potanin (Владимир Олегович Потанин in Russian; born 3 January 1961) is a Russian billionaire, entrepreneur and oligarch.[2] He acquired his wealth notably through the controversial loans-for-shares program in Russia in the early to mid-1990s.[3]

He is the wealthiest men in Russia & 44th richest person in the World,[1] with an estimated net worth of $31.7 billion, according to the Bloomberg Billionaires Index.[1] His long-term business partner was Mikhail Prokhorov until they decided to split in 2007. Subsequently, they put their mutual assets in a holding company, Folletina Trading, until their asset division was agreed upon.[4]

In January 2018, Potanin appeared on the US Treasury’s “Putin list” of 210 individuals closely associated with Russian president Vladimir Putin.[5][6]

In July 2018, the FBI announced that ByteGrid, a data solutions provider contracted to store Maryland State Board of Elections data, was owned by a private equity firm in which Potanin is an investor.[7] A retroactive investigative report issued by the US Department of Homeland Security's National Cybersecurity and Communications Integration Center found no indication that the MDSBE corporate network had been compromised.[8] The contract has since been transferred to Intelishift as a precaution.[9]

Early life and education[edit]

Potanin was born in Moscow, in the former USSR, into a high-ranking communist family.[10] In 1978, he attended the faculty of the International economic relations at Moscow State Institute of International Relations (MGIMO), which groomed students for the Ministry of Foreign Affairs. Upon graduating MGIMO in 1983, he followed in his father's footsteps and went to work for the FTO "Soyuzpromexport" with the Ministry of Foreign trade of the Soviet Union.[11]


Beginnings (1991–1998)[edit]

During perestroika, Vladimir Potanin quit the State’s structures of Foreign trade and in 1991 created the private association Interros using his knowledge gathered at Ministry of Foreign trade and his previous professional network. In 1993, Potanin became President of United Export Import Bank.[12]

In 1995, Potanin was instrumental in the creation of the “loans for shares” auctions that became a fundamental pillar of Russia’s post-Soviet economic reform.[13] The auctions allowed the selling-off of Russian firms’ assets at below market prices and are regarded as the founding moment of Russia's oligarchy.[14][15] According to the New York Times, the auctions plan is "Regarded today almost universally as an act of colossal criminality."[13]

From 14 August 1996 until 17 March 1997 he worked as First Deputy Prime Minister of the Russian Federation. Since August 1998, Potanin has held the positions of both President and Chairman of the Board of Directors of the Interros Company.[16]

Norilsk Nickel[edit]

Potanin and his long-term business partner Mikhail Prokhorov acquired Norilsk Nickel in the early 1990s under the “loans for shares” scheme, owning between them 54% of the firm.[17] Potanin owns a 34% stake.[18] They streamlined operations and turned Norilsk Nickel into a modern corporation.[17]

Dispute with Mikhail Prokhorov[edit]

In 2007, Potanin split with Prokhorov, citing Prokhorov's brief detention by French police over soliciting prostitution as the reason and announced the intent to acquire Prokhorov’s Norilsk Nickel assets for a reported $1 billion.[19] Prokhorov offered to sell his 25 percent stake for $15 billion.[17] However, Potanin refused the deal and it never came to pass.[17][20]

According to a report published by investigative platform Meduza in 2016, Prokhorov turned to Valentin Yumashev, former Russian president Boris Yeltsin's chief of staff, to appeal to president Vladimir Putin. Reportedly, Putin "phoned Potanin in Prokhorov's presence and chewed him out, saying, 'It's dishonest to cheat on partners.'"[21] Prokhorov ultimately decided to sell his 25 percent Norilsk stake to RUSAL's Oleg Deripaska instead.[20]

In March 2009, he sued former business partner Mikhail Prokhorov for $29 million over a property disagreement in Moscow.[22]

Ownership dispute with Deripaska[edit]

In 2008, Deripaska reached an agreement with Prokhorov for the acquisition of his Norilsk Nickel stake, against Potanin’s wishes. In return, Prokhorov acquired 14 percent of RUSAL.[23]

This sparked an ownership conflict between Deripaska and Potanin that was halted in 2012, when Roman Abramovich stepped in as a peacemaker by acquiring 6.5 percent of Norilsk and thereby maintaining the balance of power between Deripaska and Potanin.[24] The truce also barred the parties to sell or acquire new stakes. The deal made Potanin CEO of the company, as he owned roughly 30 percent of Norilsk, about 2 percent more than Deripaska.[25][26]

In February 2018, Potanin offered to buy 4 percent of Abramovich's stake.[27] A provisional acquisition agreement was reached in March for Potanin to buy a 2 percent stake in Norilsk from Abramovich.[28] The purchase is not yet officially approved, pending a court ruling in May that will decide whether the acquisition is breaching the 2012 stakeholder agreement.[28][29] If the purchase is approved, Potanin would own 32.9 percent of Norilsk against Deripaska's 27.8 percent.[28] In April, Deripaska called off the deal citing sanctions as the reason.[2]

Environmental pollution[edit]

Throughout Potanin's tenure as CEO, Norilsk Nickel has been consistently criticized for its environmental record. The company was named as one of the biggest polluters in the Russian Arctic,[30] and the city of Norilsk was named among the most polluted places on Earth.[31] According to a 2013 report, Norilsk Nickel's operations "discharge some 500 tons of copper and nickel oxides per year and release another 2 million tons of sulfur dioxide into the atmosphere annually", accounting for a life expectancy of local residents 10 years below the Russian national average.[31][32] According to reports from journalists who visited the city, Norilsk is surrounded by "1.2 million acres of dead forest",[33] or that "nature in a radius almost the size of Germany is dead from severe air pollution",[32] depending on the source.

As a result, pressure has been mounting on Potanin from Russian president Vladimir Putin to clean up Norilsk Nickel’s operations. In 2010, Putin stated that solving ecological problems in the Norilsk area must be one of the company's leadership's main tasks.[34]

In September 2016, the local Daldykan river ran red after a suspected break of a Norilsk Nickel slurry pipe released industrial waste into the water.[35] Norilsk Nickel was subsequently fined an undisclosed amount by the Russian Federal Service for Supervision of Natural Resources [ru] (Rosprirodnadzor).[36]

During a meeting with Putin in January 2017, Potanin promised to solve environmental problems by 2023 through the modernization of capacities.[30] Briefing Putin on Norilsk Nickel's development and performance, Potanin promised to invest $17 billion over a seven-year period on measures to modernize the company's facilities and reduce pollution from its operations.[13] Potanin said that the company planned to reduce its emissions by 75% as part of its long-term development programme through 2023.[14] In the Norilsk area, emissions were reduced by 30-35% in 2017 alone, according to company data.[37] However, another $2 billion environmental clean-up project is supposedly still outstanding.[38]

In May 2020, a major oil spill occurred at a power plant owned by Nornickel, flooding rivers with up to 21,000 cubic metres of diesel oil, in what has been described as the second-largest oil spill in modern Russian history.[39]

Other investments[edit]

Potanin also owns a stake in Petrovax Pharm, a pharmaceutical company.[40]

Rosa Khutor ski resort[edit]

Potanin was inspired to develop the Rosa Khutor ski resort in the Mzymta valley near Sochi after skiing with Putin in Austria in 2003.[41] He invested more than $2 billion into the resort after Sochi was picked for the 2014 Olympic Winter Games in 2007.[41][42]

He allegedly urged Vladimir Putin to approve expansion in the area to create a "Russian Courchevel", despite oppositional pressure from environmental groups who claimed it would further damage the region.[43]

Following Potanin’s complaint about a cost overrun of at least $530 million during the construction of hotels and chalets in Sochi and the Rosa Khutor ski resort (as required by the International Olympic Committee), Potanin sought compensation from the Russian government for the extra costs incurred.[43][44]

It was later shown that construction of the Rosa Khutor resort had resulted in a vast patch of forest being cut down, although Potanin had announced that construction would require "little excavation and zero logging."[45] This was strongly criticized by environmental conservation groups, such as Environmental Watch on North Caucasus.[46][47]

Between 2005 and 2010 Potanin invested $500,000 in starting a leopard breeding initiative in the valley. In 2015 he asked Putin to allow for permits to double the size of the ski resort, an expansion that will threaten the leopard program he contributed to.[48][49]


Potanin became the first major Russian investor to acquire assets in Iran after the sanctions against the country over its missile program were lifted in 2016.[50] Through his investment fund New Winter Capital Partners (NWCP), he bought shares of Swedish firm Pomegranate, which is a shareholder in a number of Iranian internet companies, such as Digikala, the country’s largest online retailer.[51] The investment in Digikala was estimated to be $300 million.[52]


Potanin is a member of the Russian Union of Industrialists and Entrepreneurs (RSPP), a lobby group that sent Prime Minister Dmitry Medvedev a proposal for alternative cryptocurrency regulations in October 2018.[citation needed]


In May 2015 Potatin was named a co-defendant in a case in which state-owned Vneshekonombank (VEB) was looking for damages for losses from the liquidation of Roskhlebprodukt, in which he indirectly owned a stake. In total, VEB sought $68 million in damages from Potanin and others.[53]

Honorary engagements and awards[edit]

Potanin is a member of the Board of Trustees of the Solomon R. Guggenheim Foundation in New York.[54]

In March 2003, he took charge of the National Council on Corporate Governance (NSKU), whose main goal is to improve the legislative regulations in Russia and to introduce professional and ethical standards of corporate governance in Russian companies. The goal is to boost the reputation and investment appeal of the Russian businesses.[55]

In April 2003, Potanin was elected Chairman of the Board of Trustees of the State Hermitage, the most renowned Russian art museum.[56]

He was a member of the Civic Chamber of Russia until 2014.[57]

In 2016, Potanin's charitable organization, the Vladimir Potanin Foundation, donated works of art to be displayed at the Centre Pompidou's exhibition of Russian and Soviet art [58] along with another 40 donors including Vladimir Semenikhin, the Tsukanov Family Foundation and others.[59] For his efforts, Potanin was awarded the French Legion of Honour later that year.[60]

Personal life[edit]

Potanin's first marriage was to Natalia Potanina, with whom he has three children.[61] In 2014, Potanin got married a second time, to Ekaterina.[62]

Potanin is fluent in Russian, English, and French.[citation needed]

He is the owner of three luxury motor yachts built by Oceanco:

Potanin is the only Russian to have signed The Giving Pledge, with a promise to donate at least half of his wealth to charity.[63]  

Divorce proceedings with Natalia Potanina[edit]

In 2016, Natalia Potanina filed a $15 billion lawsuit claiming profits of Norilsk Nickel as well as Interros International, in what would have been the world’s largest divorce settlement.[64] A Moscow district court rejected her claim in July 2017, arguing that the lawsuit’s limitation period had expired.[65]

The claim was preceded by a smaller claim of $7 billion in 2015, after Potanin had offered a divorce settlement including a monthly allowance of $250,000 as well as real estate in Moscow, London and New York.[66] The claim was struck down in 2016.[65] Natalia argued that Russian law demands that wealth accumulated during a marriage is split evenly between the divorcees.[66]

See also[edit]


  1. ^ a b c "Bloomberg Billionaires Index: Vladimir Potanin". Retrieved 17 April 2021.
  2. ^ "The A-Z of oligarchs". The Independent. 25 May 2006.
  3. ^ "From oligarchy to philanthropy". Financial Times.
  4. ^ Potanin sued Prokhorov over office, Moscow Times, 5 May 2009
  5. ^ Sheena McKenzie; Nicole Gaouette; Donna Borak. "Full list of Russian oligarchs released by US". CNN. Retrieved 2018-03-26.
  6. ^ Editorial, Reuters. "Russia's elite dismiss U.S. list as 'telephone book' of the wealthy". U.S. Retrieved 2018-03-26.
  7. ^ Broadwater, Luke (July 16, 2018). "Data firm says Russian investors had no access to Maryland's voting system". The Baltimore Sun. Retrieved 2019-03-22.
  8. ^ "Engagement Report INC00001021672 Maryland State Board of Elections" (PDF). Elections.maryland.gov. November 30, 2018. Retrieved March 22, 2019.
  9. ^ Broadwater, Luke (February 4, 2019). "Company with Russian investment no longer owns firm that hosts Maryland election data". The Baltimore Sun. Retrieved March 22, 2019.
  10. ^ "Frontline World, PBS, October 2003". Pbs.org. Retrieved 13 September 2012.
  11. ^ "Public Servant, Private Empire". The Moscow Times.
  12. ^ "Vladimir Olegovich Potanin: Executive Profile & Biography". Bloomberg. Retrieved 2018-03-26.
  13. ^ a b Lloyd, John (1999-08-15). "The Russian Devolution". The New York Times. ISSN 0362-4331. Retrieved 2018-03-26.
  14. ^ "Potanin plans charitable legacy". Financial Times.
  15. ^ "Russia: The End Of Loans-For-Shares". Radio Free Europe/Radio Liberty. Retrieved 2018-03-26.
  16. ^ "Vladimir Potanin". Interros.
  17. ^ a b c d "The meaning of Norilsk". The Economist. Retrieved 2018-03-26.
  18. ^ Lowe, Polina Devitt and Christian (2018-11-19). "INTERVIEW-Nornickel aims to boost output to tap electric car boom". www.cnbc.com. Retrieved 2018-12-06.
  19. ^ Kramer, Andrew E. (2007-07-08). "The Kremlin Flexes, and a Tycoon Reels". The New York Times. ISSN 0362-4331. Retrieved 2018-03-26.
  20. ^ a b "Potanin, Prokhorov Conclude Property Split". Retrieved 2018-03-26.
  21. ^ "The man who cared too little: How Mikhail Prokhorov tried (and failed) to reshape Russian politics and media". Meduza. Retrieved 2018-03-26.
  22. ^ "Potanin Sues Prokhorov Over Office". The Moscow Times. Retrieved 2018-03-26.
  23. ^ Brown, Heidi. "Deripaska Spending Many Nickels On Norilsk Stake". Forbes. Retrieved 2018-03-26.
  24. ^ "Deripaska plans to step down as president of En+ and UC Rusal as sanctions and corporate battles loom". Retrieved 2018-03-26.
  25. ^ "Bloomberg Billionaires Index – Vladimir Potanin". Bloomberg.com. Retrieved 2018-03-26.
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  29. ^ "Abramovich Allowed to Sell $1.5 Billion Nornickel Stake, for Now". Bloomberg.com. 2018-03-08. Retrieved 2018-03-26.
  30. ^ a b "Potanin tells Putin he will make nickel industry greater, cleaner". The Independent Barents Observer. Retrieved 2018-03-26.
  31. ^ a b "Russia boasts two of 10 most polluted cities on Earth in 2013 tally – Bellona.org". Bellona.org. 2013-11-07. Retrieved 2018-03-26.
  32. ^ a b Buder, Emily. "A Toxic, Closed-Off City on the Edge of the World". The Atlantic. Retrieved 2018-03-26.
  33. ^ Kramer, Andrew E. (2007-07-12). "For One Business, Polluted Clouds Have Silvery Linings". The New York Times. ISSN 0362-4331. Retrieved 2018-03-26.
  34. ^ "Norilsk Nickel must modernize or pay fines – Putin". Barents Observer. Retrieved 2018-03-26.
  35. ^ Luhn, Alec (2016-09-07). "Investigation ordered as Russian river turns red". The Guardian. Retrieved 2018-03-26.
  36. ^ "Nickel giant fined by eco-watchdog for 'river of blood' in Arctic". Siberian Times. Retrieved 2018-03-26.
  37. ^ [1]
  38. ^ "London Brawl Between Pro-Putin Tycoons Tests Kremlin's Patience". Bloomberg.com. 2018-03-20. Retrieved 2018-03-26.
  39. ^ Ivan Nechepurenko (5 June 2020), "Russia Declares Emergency After Arctic Oil Spill", New York Times
  40. ^ "Vladimir Potanin". Forbes. Retrieved 2018-03-26.
  41. ^ a b Sandford, Daniel (2013-02-07). "Putin's Olympic steamroller in Sochi". BBC News. Retrieved 2018-03-26.
  42. ^ "Olympics Investors Get More Honor than Profit". Retrieved 2018-03-26.
  43. ^ a b Oliphant, Roland (2016-06-17). "Rare leopards returning to Russian mountains at mercy of Kremlin split". The Telegraph. ISSN 0307-1235. Retrieved 2017-10-10.
  44. ^ "Special Report: Russia's $50 billion Olympic gamble". Reuters. Retrieved 2018-03-26.
  45. ^ O'Hara, Molly. "2014 Winter Olympics in Sochi: An Environmental and Human-Rights Disaster" (PDF).
  46. ^ "Environment loses out in Russia's race to Sochi". Retrieved 2018-03-26.
  47. ^ "Sochi 2014: independent environmental report" (PDF). Environmental Watch on North Caucasus.
  48. ^ "Vladimir Putin Doesn't Actually Care About Saving Leopards". Foreign Policy. Retrieved 2017-10-10.
  49. ^ "Vladimir Putin Doesn't Actually Care About Saving Leopards". Foreign Policy. Retrieved 2018-03-26.
  50. ^ "After-sanction era: Russian businessmen invest in Iranian digital markets". East-West Digital News. 2016-05-25. Retrieved 2018-03-26.
  51. ^ "Russian Billionaire Potanin First in Iranian Investment Race". Retrieved 2018-03-26.
  52. ^ "How Russia Doubled Non-Energy Exports to Iran in 2016". Financial Tribune. 2017-02-18. Retrieved 2018-03-26.
  53. ^ Editorial, Reuters. "Russia's Potanin named co-defendant in arbitration case". U.S. Retrieved 2018-03-26.
  54. ^ "The Solomon R. Guggenheim Foundation". Guggenheim. 2015-12-01. Retrieved 2018-03-26.
  55. ^ "Corporate Governance: "Russian Model" in Progress". Russia In Global Affairs.
  56. ^ "The Board of Trustees of the State Hermitage Museum".
  57. ^ "OPRF – Council (2012–2014)". www.oprf.ru. Retrieved 2018-03-26.
  58. ^ "Russian oligarch leads art donation to Paris museum". San Diego Union-Tribune.
  59. ^ "Potanin joins art collectors in donating art works to Pompidou".
  60. ^ "Potanin receives French Legion of Honour". Interros.
  61. ^ Harding, Luke (2016-06-20). "'I'm hoping for justice': former wife of Russian oligarch fights for £5bn". the Guardian. Retrieved 2018-03-26.
  62. ^ "Natalia Potanina tells us what it's like fighting one of Russia's richest men - a friend of Putin - for the world's largest divorce settlement". Business Insider. Retrieved 2021-01-24.
  63. ^ "Vladimir Potanin". Giving Pledge. Retrieved 2019-05-12.
  64. ^ "Natalia Potanina tells us what it's like fighting one of Russia's richest men — a friend of Putin — for the world's largest divorce settlement". Business Insider France (in French). Retrieved 2018-03-26.
  65. ^ a b "Potanina loses $15 bln claim against billionaire ex-husband". RAPSI. Retrieved 2018-03-26.
  66. ^ a b Chance, Matthew. "Russia's richest man in $7 billion divorce fight". CNNMoney. Retrieved 2018-03-26.

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