A company linked to Andrei Chernomyrdin, the son of Russia’s former Prime Minister Viktor Chernomyrdin, has filed a lawsuit in the Moscow Arbitration Court against four foreign entities affiliated with U.S. equipment giant Caterpillar, Kommersant reported today. Sommariva’s complaint demands Caterpillar’s written consent to transfer shares in its four remaining Russian subsidiaries, along with notarised articles of incorporation and full shareholder registers, so that the buyer can secure government approval.
Named as defendants are Caterpillar Inc., Caterpillar SARL, Caterpillar Distribution Services Europe and Solar Turbines International Company. The lawsuit targets the Russian LLCs Caterpillar Eurasia and Caterpillar Distribution International, which handle forestry equipment, as well as Solar Turbines CIS and Electro-Motiv Lokomotiv Technologies. In addition to demanding consent for share transfers, Sommariva is also asking the court to invalidate the arbitration clause in the master sales contract. It has also proposed a penalty of 5 million rubles per day for each day of non-compliance once the ruling takes effect.
Industry insiders say Solar Turbines CIS continues to service long-term contracts in Russia’s oil and gas sector and retains turbines on its balance sheet. At the same time, a Sommariva source told Russian media that engines, components, and spare parts are stored in a 17,500-square-metre warehouse in Khimki, awaiting a new owner. “We intend to resume maintenance operations and launch domestic production of equivalent equipment,” the source said.
Wood Central understands that Caterpillar suspended operations at its Tosno plant in spring 2022, months after Western sanctions were imposed in response to the war in Ukraine. In 2023, President Vladimir Putin authorised the sale of the facility and its leasing arm, opening the door to buyers such as Balchug Capital and now Sommariva. Corporate filings indicate that Alexander Migal’s Horizont JSC owns Tosno LLC, while the leasing business is managed by the Neon fund, which is overseen by Cosmos Capital.
Legal experts say Sommariva’s case hinges on forcing Caterpillar to hand over documents essential for the government’s review. “The buyer is seeking to advance the process on its own by obtaining these papers,” said Stanislav Danilov, partner at Pen & Paper Bar Association. Alexander Grebelsky of Grebelsky and Partners noted that Russian courts often render arbitration clauses unenforceable when fees or perceived bias block fair hearings abroad. “Sommariva has a strong shot if it can show clear contractual obligations,” added Ilya Sorokin of Novator Legal Group.
Still, hurdles remain. Russian law may bar domestic courts from handling disputes covered by arbitration clauses, and foreign affiliates may refuse to recognise or execute a Russian judgment, warned Dmitry Kletochkin of Rustam Kurmaev & Partners. With rivals including Balchug Capital circling the assets, Sommariva’s gambit comes amid a scramble to replace departing Western manufacturers.
