In June, unnamed people close to the deal told the Financial Times that Abramovich and his business partners Alexander Abramov and Alexander Frolov were going to sell Truphone for one pound sterling ($1.15) to German businessman Hakan Koc and his associate Pyrros Koussios.
According to The Telegraph, the Investment Security Unit within the UK's Department for Business, Energy and Industrial Strategy froze the purchase in July to carry out a 30-day investigation required under the kingdom's legislation on foreign takeovers. However, officials decided to extend this period for 45 more days as a more detailed examination was deemed necessary.
The Telegraph said that government officials are looking into claims that Koc may have links with Russia.
According to the newspaper, Koc’s previous business, an online platform for buying and selling used cars called Auto1, received investment from venture capital fund Target Global. The firm was previously based in Moscow and operated by Russian businessman Alexander Frolov, whose father, also named Alexander Frolov, is one of Truphone's investors, the Telegraph said.
The newspaper's sources noted that Abramovich still de-facto owns the company due to the ongoing examination. If the deal's closing is delayed any further, Truphone may lay off hundreds of people, the sources warned.
In March, the UK, in response to Russia's military operation in Ukraine, imposed sanctions on several Russian businessmen, including Abramovich, forcing him to sell the Chelsea Football Club, which he owned since 2003, without the right to profit from the sale.