Business news from Ukraine

Business news from Ukraine

PASSENGER FLOW AT ZAPORIZHIA AIRPORT FALLS BY 13% IN SEPT

The Zaporizhia international airport in September 2018 saw a 13% fall in passenger flow year-over-year, to 36,000 people.
Director of the airport Viktor Biskupsky told Interfax-Ukraine that along with the seasonal decrease in activity, the reason for the decline in passenger traffic was the annulment of regular flights in Ukraine by Atlasjet Ukraine, the annulment of flights to Batumi and Tel-Aviv by Ukraine International Airlines (UIA), and the switch to lower capacity planes by airlines on domestic flights (in particular, by UIA).
At the same time, he said that all domestic flights from Zaporizhia are fully filled.
According to the information on the website of the Zaporizhia International Airport, on domestic flights the decline in passenger traffic was 23% (7,300 people), on international flights – 10.4% (2,400 people).
In general, in January-September-2018, the passenger traffic at the Zaporizhia airport amounted to 297,500 people, almost 19% more than last year. On domestic flights, growth was 12.7% – to almost 71,000, on international flights – by 20.9%, to 226,600.
The number of aircraft departures, according to the airport, amounted to 2,434 and increased by 16.5% over the same period last year.

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DUTCH DEVELOPMENT BANK FMO AND DILIGENT CAPITAL PARTNERS ACQUIRE SHARE IN LARGE UKRAINIAN VEGETABLE OIL PRODUCER

The Dutch Development Bank FMO and Diligent Capital Partners (DCP) jointly acquired 16% in Allseeds S.A. (Luxembourg), the holding company of a large Ukrainian vegetable oil producer and exporter – Allseeds Group.
“We needed to attract additional investments. FMO responded to the proposal and during the year we implemented the deal,” Allseeds Group CEO Viacheslav Petryshche said at a press conference in Yuzhne (Odesa region).
The deal was closed on September 19.
According to a press release from Allseeds, FMO and DCP jointly acquired shares, providing funding for the implementation of the Allseeds development strategy, which includes expanding the capacity for processing oilseeds, transshipment for the export of oils and meal and increasing added value.
As reported, the Antimonopoly Committee of Ukraine allowed the Dutch Development Bank FMO to indirectly enter the capital of Allseeds.
Allseeds Group was founded in 2010. In July 2015, the group commissioned an oil extraction plant at Yuzhny port with a capacity of processing 2,400 tonnes of sunflower seeds per day (or 1,800 tonnes of rapeseeds, or 1,500 tonnes of soybeans).

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ASELSAN FROM TURKEY PLANS TO ORGANIZE PRODUCTION OF TACTICAL COMMUNICATIONS DEVICES WITH UKRAINIAN PARTNER

State-owned enterprise Spetstechnoexport and Turkey’s defense company Aselsan have signed a memorandum confirming plans to start production of Turkish tactical communications devices in Ukraine. An Interfax-Ukraine correspondent has reported that the sides signed the document at the 15th international specialized exhibition Arms and Security 2018 opened in Kyiv on October 9.
Spetstechnoexport Head Vladyslav Belbas told Interfax-Ukraine that the signed document confirms mutual commitments of the parties outlined in the offset agreement signed by Spetstechnoexport and Aselsan in July in Ankara after a meeting of the bilateral intergovernmental commission for defense cooperation. The details of the project are being approved.
As reported, in October 2017, Aselsan and Spetstechnoexport signed a government-guaranteed contract in Kyiv for the amount of $43.635 million for delivery of tactical communications to be used in the USB band in the interests of the Armed Forces of Ukraine in 2018 as part of the government defense procurement order. According to Ukrainian legislation, purchases of defense imports under the government defense procurement order amounting to more than $5 million provide for the conclusion of an offset agreement.

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KYIV INTERNATIONAL AIRPORT (ZHULIANY) PLANS TO INVEST UAH 630 MLN IN RECONSTRUCTION AND TERMINAL AREA EXPANSION

Kyiv Sikorsky International Airport (Zhuliany) is planning to reconstruct the main Terminal A with an area of 14,000 square meters and expand it by 9,500 square meters, estimating investment in this project at UAH 630 million.”The expansion of the terminal area by 9,500 square meters will help double its capacity,” the airport’s press service reported on Tuesday.
The airport’s press service told Interfax-Ukraine that the current airport capacity is about 700 people per hour.
Kyiv International Airport (Zhuliany) is located in the business center of the capital, seven kilometers from the city center. It is the second largest airport in Ukraine in terms of the number of flights and passenger traffic. The airport has three terminals with a total area is 21,000 square meters. Terminal B is separate facility for business-class service, it is part of the Fixed Base Operator (FBO) system. The airport’s runway is able to handle B-737 and A-320 aircraft. In the first nine months of 2018, the airport serviced 2.165 million passengers, which is 57.3% more than in January-September 2017.

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