TUI’s biggest single shareholder, Russian oligarch Alexey Mordashov, has resigned from the company’s supervisory board with immediate effect.

The operator issued a statement to say he has stepped down after the European Union imposed sanctions, which ‘deprive Mr Mordashov of access to the shares he tolds in TUI’.

TUI said: “As a result of the war in Ukraine triggered by Russia, the European Union issued new sanctions on 28 February 2022, which additionally include further representatives of the Russian economy.

“Among them is Mr Mordashov. He has been a shareholder in TUI AG for around 15 years and currently holds around one third (34%) of the share capital. Two thirds of the shareholders (66%) are private and institutional investors and come from Germany, the EU, the UK and the US.”

TUI said: “The aim of the EU sanctions is to prevent Mr Mordashov from disposing of his shares in TUI AG. This is to prevent Mr Mordashov from realising any proceeds or profits from his investment in TUI.”

The operator added: “The EU sanctions relate to Mr Mordashov as a person, not to TUI AG, in which he is a shareholder.

“These sanctions against the shareholder have no impact on the company in which he holds shares. The operative business of TUI AG is managed by the Executive Board, as is the case with any German public limited company.”

In a statement to Tass, the Russian news agency, Mr Mordashov said: “I fail to understand how these sanctions against me will contribute to the settlement of the dreadful conflict in Ukraine.

“What is happening in Ukraine is a tragedy for two fraternal nations. It is terrible that Ukrainians and Russians are dying, people are suffering hardships and the economy is collapsing.

“I sincerely hope a way can be found in the very near future to resolve this conflict and stop the bloodshed.”

On Monday, TUI Group CEO Fritz Joussen wrote to staff to allay concerns over how war in Ukraine could affect business and to address questions over Mr Mordashov.

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