Czech billionaire Daniel Křetínský prepares to take control of Royal Mail

In the United Kingdom, Daniel Křetínský, a Czech billionaire, is on the verge of acquiring Royal Mail, a postal service with a long history of 508 years. This potential £3.6 billion takeover has raised significant concerns, triggering a review by the UK government regarding national security interests associated with Křetínský’s previous dealings in Russia. Notably, Křetínský has openly condemned Russia's invasion of Ukraine, yet his business engagements in the region have led to some hesitation from UK officials. Křetínský's arrival in Moscow in June 2016 for discussions with Alexey Miller, a close associate of Vladimir Putin and head of Gazprom, highlights the complex nature of his business interests. His company, EPH, owns a notable stake in SPP Infrastructure, which operates the Eustream pipeline—a critical corridor for Russian gas into Europe. Tensions surrounding energy security in Slovakia and Ukraine prompted US and UK concerns about the ramifications of the new pipeline construction, given the geopolitical backdrop. His spokesperson insists that Eustream's agreement with Gazprom is legally binding, having been established prior to Křetínský's involvement. As Europe wrestles with reducing its reliance on Russian energy post the invasion of Ukraine, Křetínský’s ties and dealings have drawn scrutiny that may influence the Royal Mail acquisition. Reports suggest that despite Křetínský’s plans for a smooth transition at the acquired entities, including avoiding staff cuts and sale agreements, internal conflicts have surfaced. French media outlets noted increasing pressures as Křetínský pushed for the sale of larger stores to competitors against union protests, leading to potential unrest among employees. Furthermore, Křetínský’s business dealings are not without controversy, as evidenced by a €2.5 million fine levied against EPH by EU regulators in 2012 for obstructing competition investigations. This backdrop of regulatory challenges and his complicated history with Russian operations raises questions about Křetínský’s suitability to manage a historic institution like Royal Mail. As of the current date, the UK government has yet to take definitive action regarding the acquisition, suggesting that approval may soon follow despite ongoing uncertainties.