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Business news from Ukraine

DRAGON CAPITAL BUYING VICTORIA GARDENS MALL IN LVIV, ECO TOWER BUSINESS CENTER IN ZAPORIZHIA

The Antimonopoly Committee of Ukraine has permitted Dragon Capital Investments Limited (Nicosia, Cyprus) to acquire stakes in Ukrainian Commercial Property LLC (Zaporizhia) and Phoenix Capital LLC (Lviv), which own ECO Tower class A business center (earlier Baida Business Hall) and Victoria Gardens shopping and leisure center respectively.
The committee said on Tuesday that it permitted Dragon Capital to acquire stakes in the charter capital of the two companies exceeding 50% of the votes in the management bodies of the companies.
As reported, the ribbon-cutting ceremony for the Victoria Gardens shopping and leisure center with gross area of 102,000 square meters located on intersection of Naukova and Kulparkivska streets in Lviv took place on October 29, 2016. As of July 2015, JLL said that total investment in the center reached $110 million.
ECO Tower was built in March 2011. Its gross area is 18,700 square meters.
According to the unified public register, Phoenix Capital LLC belongs to Globcon Limited (Britain). Beneficiaries of the company are Suleyman Hazinedaroglu and Burak Baslilar (both from Turkey).

LAWMAKERS PROPOSE RETURNING VAT REFUNDING FOR EXPORTS OF RAPESEEDS, SOYBEANS

A group of lawmakers has proposed to annul the requirement foreseeing temporarily suspension of VAT refunds for exports of rapeseeds and soybeans.
Bill No. 7403-2 amending the Tax Code of Ukraine regarding some issues of VAT taxation for oilseeds exports was registered in the Verkhovna Rada on December 29, 2017.
The authors of the bill are 27 lawmakers. They believe that return of VAT refunds for exports of rapeseeds and soybeans would allow avoiding the loss of farmers who plant these oilseeds and would not allow violation of international commitments of Ukraine to the World Trade Organization (WTO) and the Deep and Comprehensive Free Trade Agreement (DCFTA) with the European Union (EU).
As reported, the temporary limitation for refunding VAT for exports of soybeans will be in effect from September 1, 2018 until December 31, 2021 and rapeseeds from January 1, 2020 until December 31, 2021.

LEADER OF UKRAINIAN AUTO MARKET TOYOTA RAISES SALES BY 26% IN 2017

The sales of new Toyota cars, which in 2017, as well as a year earlier, became the leader of the Ukrainian car market, grew by 26% compared to 2016, to 9,696 units with the growth of the car market as a whole by 25%, to 82,300 cars, according to the Ukrautoprom association.
According to the report, during the year Toyota was in the lead in the nine out of twelve months, and three months this position had been held by Renault, which over the year ranked second with 8,671 registered cars and an increase of 36%.
Volkswagen, as in the previous year, ranked third. It sold 6,525 cars, and the sales growth was 30%.
The fourth and fifth positions were held by Skoda with 5,675 cars sold (37% up) and KIA (5,320 cars, 34% more).
Thus, the five leaders of the market did not change compared to last year.

POKROVSKY GOK TO INVEST MORE THAN UAH 247 MLN IN COMPANY DEVELOPMENT IN 2018

PJSC Pokrovsky ore mining and processing enterprise (Pokrovsky GOK, Dnipropetrovsk region) intends in 2018 to invest more than UAH 247 million in the program of production and technical development, while the plan for 2017 was UAH 350 million.
Board chairman of the company Serhiy Shuvayev said the strategic goal for 2018 is to maintain the plant’s capacity for extraction and production of concentrate.
“Shevchenkivsky quarry has almost finished its work, therefore we need to compensate for this by increasing ore extraction at other divisions, and the year of 2018 will be preparatory to increasing the productivity plan at Pivnichny and Chkalovsky No. 2 quarries,” he said.
According to him, it is planned to overhaul mining equipment.
According to him, the specialists of the plant came to the conclusion that independent charge would allow to not only compensate for the lost volumes of ore, but also increase the productivity of the factory, increase manganese content in concentrate. Due to the increased competitiveness of the plant’s products, Pokrovsky GOK hopes to obtain additional income.

GERMAN COMPANIES CREATE 2,000 JOBS IN UKRAINE IN 2017 – UKRAINIAN FM

Ukrainian Foreign Minister Pavlo Klimkin has said that in 2017 German companies created 2,000 new jobs in Ukraine.
“In 2017, according to our approximate calculations, German companies created at least 2,000 jobs in Ukraine,” Klimkin said at a joint press conference with German Foreign Minister Sigmar Gabriel in Kyiv on Wednesday.
The Ukrainian foreign minister noted that the German automobile industry alone has created more than 30,000 jobs in Ukraine.