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Mikhail Fridman

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Mikhail Maratovich Fridman is a prominent Russian-Israeli tycoon and oligarch.

Mikhail Fridman
Mikhail Fridman

Born on April 21, 1964, in Lviv, Ukraine, he has become one of the most influential figures in Russian business. He is best known as a co-founder of Alfa-Group, a massive multinational conglomerate. This group holds interests in many different industries, such as banking, telecommunications, and retail. Throughout his career, Fridman has managed vast amounts of wealth and large-scale international investments. His financial status has fluctuated over the decades due to global market changes and political shifts.

Fridman's journey began with a focus on engineering and early entrepreneurship. He attended the Moscow Institute of Steel and Alloys, graduating with distinction in 1986. While studying, he held various jobs, including washing windows. He even co-owned a student discotheque named Strawberry Fields. He also led a group of students who bartered theater tickets for rare goods. After graduation, he worked as a metallurgical design engineer at the Elektrostal Metallurgical Works. However, the opening of the Soviet economy in the late 1980s led him toward business. In 1988, he started several small ventures with college friends. These included selling used computers and importing perfumes and cigarettes.

These small businesses eventually evolved into the Alfa Group Consortium. In 1988, Fridman co-founded Alfa-Photo to import photography chemicals. By 1989, he helped found Alfa-Eco and Alfa Capital. These companies grew rapidly and became part of a larger industrial conglomerate. In January 1991, Fridman used $100,000 of his profits to co-found Alfa-Bank. This institution grew to become one of the largest private banks in Russia. The Alfa Group expanded into many sectors, including the X5 Retail Group, which is Russia's largest food retailer. The group also managed Rosvodokanal, a private water utility, and AlfaStrakhovanie, an insurance company.

Fridman also played a major role in the telecommunications and energy sectors. His company, Altimo, managed various holdings like MegaFon and Vimpelcom. He spent years navigating complex ownership disputes and mergers in the telecom industry. In the energy sector, Fridman participated in the purchase of the Tyumen Oil Company (TNK) in 1997. In 2003, this led to the creation of TNK-BP, a joint venture with the British company BP. TNK-BP became the third-largest oil producer in Russia. Fridman served as the chairman for nine years and as CEO for three years. In 2013, the company was sold to the state-owned Rosneft for $56 billion. Fridman and his partners received $28 billion from this massive sale.

Following the sale of his oil interests, Fridman moved toward international investment. In 2013, he co-founded LetterOne (L1), an international investment company headquartered in Luxembourg. He worked alongside co-founders Petr Aven and Andrei Kosogov. LetterOne was designed to invest in energy, telecoms, finance, and technology globally. As of late 2013, the company managed $29 billion in assets. They also formed L1 Energy to focus on international oil and gas assets. In 2015, L1 Energy acquired the German company DEA from RWE for $7 billion.

Mikhail Fridman, Petr Aven and Lord Browne at the L1 Energy launch New York
Mikhail Fridman, Petr Aven and Lord Browne at the L1 Energy launch New York

This move helped expand their presence in the European energy market.

Fridman's wealth has been tracked closely by organizations like Forbes and Bloomberg. In 2013, Forbes ranked him as the second-richest Russian with $16.5 billion. By 2023, his net worth was estimated at $12.6 billion. According to the Bloomberg Billionaires Index, he had $13.1 billion in February 2024. As of February 6, 2025, Forbes listed his net worth at $13.3 billion, ranking him #150 globally. These figures highlight his significant impact on the global economy. His ability to navigate financial crises, such as the 1998 Russian ruble crisis, helped preserve his capital.

Recent years have brought significant legal and political challenges for Fridman. In 2022, the European Union imposed sanctions on him following the Russian invasion of Ukraine. Fridman denied the allegations, calling them false and defamatory. To protect his companies from these sanctions, he stepped down from the boards of LetterOne and Alfa Group. He has also filed lawsuits to challenge these sanctions in 2022. In December 2022, reports emerged regarding a detention in London involving a wealthy Russian businessman. The National Crime Agency later closed its investigation into the matter in September 2023. By October 2023, Fridman reportedly announced his intention to return to Russia.

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