Business news from Ukraine

Business news from Ukraine

Pork prices rose by 9.7% over week in Ukraine

Prices for the purchase of slaughter pigs in the third decade of September continued to recover, according to the Pig Producers of Ukraine industry association.
“Last week’s trading ended with a noticeable strengthening of prices for the purchase of live pork: most industrial pig farms “signed” commodity lots by 3-5.5 UAH/kg more expensive than a week earlier. Thus, the main volumes of live pork this week were purchased at 61-63 UAH/kg, although in some places quotations fluctuated by 1 UAH/kg both up and down. The weighted average market price amounted to 61.76 UAH/kg (+9.7% compared to last week), analysts said.
According to representatives of meat processing, the course of pork sales remains relatively stable, without any particular jerks or recessions. At the same time, some procurers say that the supply of conditioned pork is lower than they would like, so in some places there is a shortage of it. This is also confirmed by feedback from pork producers, who are increasingly interested in cooperation from former or new contractors, as well as requests for additional volumes.
“The operators of the live pork market currently see no prerequisites for lowering prices, but rather at least strengthening at the current level or increasing them to 65 UAH/kg,” the industry association summarized.

Oschadbank puts up for sale Atmosfera shopping center and Ramada Encore Kyiv hotel

JSC “Oschadbank” has re-launched the Atmosfera shopping center and Ramada Encore Kyiv hotel and the rights of claim to Niteko Company LLC for UAH 1.018 billion through the OpenMarket electronic trading system (SE “SETAM” of the Ministry of Justice of Ukraine), the SETAM service reports.
The lot includes real estate in Kyiv, 103 Stolychne Shosse (buildings 1, 2, 3, 4), including an administrative and hotel center with a total area of 39.6 thousand square meters (Ramada Encore Kyiv), a two-level parking lot, and the Atmosphere shopping center with a parking lot with a total area of 48.5 thousand square meters. The lot also includes the sale (assignment) of the right of monetary claim to Niteko Company LLC.
“One of the biggest advantages of the lot is its location at the intersection of three major highways towards the elite villages of Obukhiv district and Koncha Zaspa. It is an excellent choice for shopping and recreation due to the large number of popular shops, food courts and entertainment areas. This makes Atmosfera a profitable business that has already gained a reputation and is known not only in Kyiv but also abroad,” said Oleksandr Mamro, CEO of SETAM.
The guarantee fee is UAH 50 million 905 thousand 257. The auction is scheduled for October 18, 2024.
In March 2024, when Oschadbank first put up for sale the mall and hotel at 103 Stolychne Shosse, the lot also included 11 land plots in Kozyn with a total area of 17.3 hectares for residential construction. The starting price of the full lot was UAH 1.79 billion.
According to Opendatabot, the owner of Niteko Company LLC is FC NGI Management LLC, and the ultimate beneficiary is Dmytro Buriak. At the end of 2023, the company reduced its net loss by 4.9 times compared to 2022 – to UAH 70.2 million, while net income increased by 69% to UAH 146.2 million.
As reported, Wyndham Hotel Group (WHG) opened its largest four-star hotel under the Ramada Encore brand in June 2012 as part of the Stolychnyi mixed-use complex (formerly Domosfera) at 103 Stolychne Shosse in the Holosiivskyi district of Kyiv.
The 22-storey hotel has 332 rooms and 58 apartments. The hotel’s infrastructure includes a conference center with a total area of more than 4 thousand square meters with 20 meeting rooms, a two-level parking lot for 1150 cars, two fitness centers, restaurants, a sushi bar and a summer terrace. The hotel is managed by DBI Hotels & Resorts (Switzerland).
The Atmosphere shopping and entertainment center (SEC) in Stolychny was opened on April 12, 2014. The mall has about 50 premium shops and boutiques, a food court, an entertainment zone, a karting center, a fitness center, a cinema with restaurant service and an event hall with 800 seats.
The developer of the project is DeVision Group. The mixed-use complex also includes Domosfera shopping center with a leasable area of 30.7 thousand square meters, opened on May 16, 2009, and Europe, a B+ business center with a total area of 22 thousand square meters and a parking lot for 300 cars. The total area of the mixed-use complex is 158.2 thousand square meters.

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“N-Trans” expanded its customer base by 20% in January-June, says Denys Fomenko, CEO of N-Trans

N-Trans, a member of the NIKO group of companies, increased its turnover by 10% to UAH 1.4 billion in January-June 2024, the company said on its website.

“Our main goal remains to expand the geography of optimal logistics routes and improve the quality of service for our customers,” CEO Denis Fomenko said in the release.

It is specified that the geography of transportation currently covers Europe and Asia, with such companies as Mitsubishi, Hyundai, Volkswagen, Audi, Scania, Iveco, BYD, and Haval among its customers.

“As of September 1, 2024, N-Trans has more than 400 active legal entities in its portfolio, which is 20% more than in 2023,” Fomenko told Interfax-Ukraine.

According to the release, N-Trans operates a functional logistics terminal located at 45 km of the Kyiv-Chop highway, which includes a 24.1 thousand square kilometers of vehicle arrival area, a 164 square meters closed temporary storage warehouse, a 36.3 thousand square meters open customs warehouse, and a 60 thousand square meters open commercial warehouse. The terminal also includes a customs post of the Kyiv Customs Service and a phytosanitary control point of the State Service of Ukraine for Food Safety and Consumer Protection in Kyiv region.

According to its website, N-Trans LLC was founded in 2004 as a transport company of NIKO Trading House, a Ukrainian importer of Mitsubishi cars. In 2008, the company made changes to its business strategy, expanded its range of services and became a logistics operator. Currently, the company is one of the leading operators of integrated logistics services in Ukraine. The main activities include international road and container transportation, customs terminal services, customs clearance and warehouse logistics.

Source: https://ukrterminal.kiev.ua/novyny/kompaniya-n-trans-u-pershiy-polovyni-2024-roku-zbil-shyla-obih-na-10-do-1-4-mlrd-hrn

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Alla Teliha launches franchise of family cafe Tsiberek

Alla Teliga, co-founder of Galya Baluwana and Wesola Pani chains, is launching a new franchise of a family cafe specializing in chebureks, Tsiberek, according to the Ukrainian Council of Shopping Centers.
According to the release, the first restaurant under the brand will be opened in Lutsk (2 Vynnychenka Street), scheduled to open in October. The menu was developed by Alla Teliga, the author of all recipes of the Galya Baluvana chain, and the famous chef Vladyslav Tsymbalyuk. The next step is to launch franchise sales.
Galya Baluvana was founded in 2019 in Lutsk. As of August 2024, Galya Baluwana had more than 950 stores and 172 franchisees. Since 2023, the company has stopped adding new partners to the Galya Baluwana joint network, and only franchisees who were previously included can open new outlets.
According to Opendatabot, Volodymyr Matviychuk and Oleksandr Teliga are the owners of the chain’s developer, Gostuyemo po domashnomu LLC (Lutsk). According to the company’s financial statements for 2022, its net profit for the year increased 3.5 times and amounted to UAH 14.9 million.
As reported, in January 2024, the Ukrainian chain of convenience stores Galya Baluwana opened its first store in Philadelphia (USA) under the MultiCook brand (developed by Volodymyr Matviychuk).
The Wesoła Pani chain of convenience food stores from the Ukrainian company Galya Baluwana (developed by Alla and Oleksiy Telig) is already represented by 140 outlets in three European countries (Poland, Latvia, and the Netherlands). Plans were announced to expand the chain in Poland to 500 stores.

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Industrial and technical company Agromat to issue bonds

Industrial and technical company Agromat has announced the issue of three-year bonds of the H series for the amount of UAH 100 million for public offering, and has started to redeem the previous issue.

According to the information disclosure system of the National Securities and Stock Market Commission, the H series issue was registered on September 6. The nominal value of the bond is UAH 1 thousand. The interest period is 91 days, the interest rate on the bonds for the first to fourth interest period is 16.5% per annum.

The start date of the public offering is September 30, 2024, and the bonds are scheduled to mature on September 27-29, 2027.

According to the company, 100% of the funds raised will be used to expand Agromat’s retail network.

In addition, on September 25, 2024, Agromat began to redeem UAH 100 million of series G bonds issued in 2021.

“Agromat is engaged in the production and sale of ceramic tiles and sanitary ware, and was registered in 1993. The company has 32 stores in Ukraine.

According to Opendatabot, the company’s co-owners with 28.65% each are Sergiy Voitenko, Oksana Reva, and Anatoliy Taday, 10.05% belongs to Olga Bashota, and 4% to Nadiya Rusheliuk.

According to the company’s financial results for 2023, its revenue increased by 45.5% to UAH 3.12 billion, while net profit increased by 63.7% to UAH 115.3 million.

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“Naftogaz” increased its net profit by 3.7 times in 6 months

The net consolidated profit of Naftogaz Group in January-March 2024 increased by 3.7 times (by UAH 17.839 billion) compared to the same period last year, to UAH 24.414 billion.
According to the consolidated financial statements published on Naftogaz’s website, its sales revenue for the first half of the year increased by 28.1% (by UAH 31.456 billion) to UAH 143.373 billion, gross profit by 4.1 times (by UAH 33.479 billion) to UAH 44.377 billion, and operating profit by 2.1 times (by UAH 14.907 billion) to UAH 28.904 billion.
According to the group’s press service, the improvement in financial results was achieved, in particular, due to an increase in revenues from the sale of gas, oil and petroleum products, as well as natural gas distribution services.
The key companies that showed a profit in the first half of 2024 are Naftogaz of Ukraine, Ukrgasvydobuvannya, Ukrtransgaz, Ukrnafta, Gas Supply Company Naftogaz of Ukraine, and Ukrtransnafta.
In addition, in January-June 2024, the group’s companies paid UAH 44 billion in taxes to the state budget, or 7.5% of all payments controlled by the State Tax Service of Ukraine.
As reported, in 2023, the net consolidated profit of Naftogaz Group amounted to UAH 23.1 billion, compared to a loss of UAH 79.1 billion in 2022.

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