Business news from Ukraine

Lokhvytsia Distillery sold for UAH 14 mln

23 May , 2024  

The State Property Fund (SPF) of Ukraine sold the state-owned Lokhvytsia Distillery in Poltava region for UAH 14 million at an auction on Prozorro.Sale, which is 24.% higher than the starting price.

According to the website of Prozorro.Sale, only one bidder took part in the auction, Agro-Sun LLC, which offered UAH 14 million for the lot at a starting price of UAH 11.22 million. The winner of the auction will have to pay UAH 16.82 million including VAT.

In addition, the buyer of the UMK SE Lokhvytsia Distillery is obliged to prevent the dismissal of employees and pay off the company’s wage and budget arrears within six months from the date of transfer of ownership.

SE Lokhvytsia Distillery is the largest of the remaining state-owned distilleries and has been out of business since 2009. As of March 31, 2024, the distillery’s overdue accounts payable reached UAH 55.68 million. The company has three employees. All the company’s assets are located in the Myrhorod district of Poltava region.

Agro-Sun LLC (Kharkiv) was founded in 2017, has more than five warehouses in different regions, and supplies chemical raw materials to more than 1,000 organizations.

In 2023, the company’s revenue amounted to UAH 31.54 million, net income – almost UAH 1.08 million, assets – UAH 35.18 million, and debt – UAH 22.7 million. The beneficiary of Agro-Sun LLC is Natalia Odariuk.