Business news from Ukraine

KHARKIV INTERNATIONAL AIRPORT BOOSTS PASSENGER TRAFFIC BY 20%

Passenger traffic at Kharkiv International Airport totaled 71,800 people in January 2019, which was 20% up year-over-year (59,500 people), the airport’s press service said.
The following flights were popular: Istanbul (Turkish Airlines, Pegasus), Kyiv (UIA), Sharm El Sheikh (SkyUp, Windrose, Azur Air Ukraine, UIA, Bravo Airways), Warsaw (LOT), and Vienna (Wizz Air).
As reported, in December 2018, the airport handled 78,600 passengers, which was 30% more than in the same period of 2017.
Kharkiv Airport’s runway is 2,500 meters long and 50 meters wide. There are two passenger terminals at the airport, their capacity is 100 and 650 people per hour.
The airport is managed by DCH through New Systems AM. DCH was established on the basis of assets previously informally dubbed as the UkrSibbank Group, after two partners of this group, Oleksandr Yaroslavsky and Ernest Galiev, decided to split them.

, , ,

ATB TO ACQUIRE RETAIL AND OFFICE CENTER IN RIVNE

LLC ATB-Invest (Dnipro), part of the ATB group of companies, plans to acquire a retail and office center in Rivne, owned by the Novus retailer, which is part of the Lithuanian group BT Invest. As the Antimonopoly Committee of Ukraine (AMCU) said it plans on February 7 to consider the case of granting permission to ATB-Invest LLC to acquire assets, namely a Rivne-based retail and office center, owned by Novus-Ukraine LLC (Kyiv).
According to the Novus website, its chain as of February 7, 2019, includes two stores in Rivne: at 26 Gagarin Street and at 24 Bohoyavlenska Street.
Novus Ukraine LLC was established in 2008, the same year the first Novus supermarket was opened in the country.
According to the State Register of Legal Entities and Individual Entrepreneurs as of February 7, 2019, Novus Ukraine LLC is wholly owned by CJSC Consul Trade House (Vilnius, Lithuania). The final beneficiaries are Marina Pozniakova, Agnė Ruzgienė, Raimondas Tumėnas.
The charter capital of Novus Ukraine LLC is UAH 634.7 million.
The Novus supermarket chain is developed by BT Invest (Lithuania), which was established in 2008 by former shareholders of Sandora Raimondas Tumėnas and the late Ihor Bezzub.
The ATB chain in 2018 expanded by 80 new and 41 renovated retail outlets, numbering 990 stores in 22 Ukrainian regions.
It posted record high sales in its 25-year history, which amounted to UAH 103.6 billion, including VAT.

, , ,

VERTICALLY INTEGRATED AGRICULTURAL GROUP KSG AGRO TO INVEST UAH 11 MLN IN SOW FARM CONSTRUCTION

KSG Agro plans to build a sow farm for UAH 11 million at its pig complex in 2019, the press service of the company has told Interfax-Ukraine. “In 2019, the construction of a new sow house for 714 heads is planned, the planned investments are UAH 11 million,” the company said.
According to the company, in 2018, KSG Agro began the reconstruction of infrastructure facilities adjacent to the pig complex. In particular, the company began construction of a sewage pumping station, investing UAH 2.5 million in equipment. Also, the agricultural holding in 2018 invested UAH 1 million in equipment for the agricultural waste incinerator for securely disposing of pig waste.
According to KSG Agro, infrastructure investments have allowed the company to increase sales of pig products in monetary terms to UAH 403 million (a rise of 6.3% compared with 2017).
“The stake on the reconstruction of pig-breeding capacities hit the target. Throughout last year, the volume of consumers’ applications steadily exceeded our production capacity. As a result, the average sales price exceeded the same indicator in 2017 by 16.5%, amounting to about UAH 44 per kg,” Board Chairman Serhiy Kasianov said.
At the same time, in quantitative terms, the agricultural holding reduced sales to 93,000 heads (in 2017 it was 106,500 heads). According to the company, the average annual number of pigs in 2018 at the pig farm in the village of Nyva Trudova in Dnipropetrovsk region there was about 55,000 pigs.
KSG Аgro is a vertically integrated agricultural group, working in almost all the segments of the agricultural market, including the production, storage, processing, and sale of agricultural products.

, , ,

VACANCY OF KYIV’S OFFICES IS LESS THAN 5% IN 2018

The share of vacant space in the office real estate segment in Kyiv at the end of 2018 was less 5%, and rental rates are growing, Head of the Capital Markets and Land Parcel Transactions Department of Cushman & Wakefield Volodymyr Mysak said at the Ukrainian Center of Steel Construction conference.
“In Ukraine, there is a very interesting comparison between supply and demand. Kyiv has the smallest number of square meters per 1,000 inhabitants in terms of office space among European cities. That is, there is a huge potential for increasing office space,” the expert said.
The company also believes that the investment attractiveness of office real estate is increasing. “If one has previously massively invested in residential real estate, now they are returning to office real estate. That is, many investors are returning to this,” Mysak said.
According to Cushman & Wakefield, by the end of 2018, the vacancy rate of commercial real estate in Kyiv amounted to 4.9%, the total offer was 649 square meters per 1,000 inhabitants. At the same time, rental rates averaged $29 per square meter a month.
According to Mysak, the vacancy rate is also very low in the warehouse real estate market – about 3%, which causes an increase in rental rates.
The expert said that the amount of investment in commercial real estate in 2018 was a record for 10 years.
“In 2018, there was a lot of investment in the economy of Ukraine, in particular in commercial real estate. We actually reached a 10-year peak – more than $300 million was invested in commercial real estate. This shifted the cycle from the point, and this means investors are confident that the market is moving in a positive direction.”

,

ALFA-BANK (UKRAINE) LAUNCHES ONLINE FOREX EXCHANGE FOR INDIVIDUALS

Alfa-Bank (Ukraine) in connection with the entry into force of the law on liberalization of the currency regulation system from February 7 has offered a new online forex exchange service to individual clients, the bank has told Interfax-Ukraine.
“The purchase and sale of currencies will be made without a commission fee at the single exchange rate, which is set in branches of the bank. The purchased currency is instantly available to the client on the account or card for settling payments, placing on a deposit account or withdrawing cash,” Vice-President, Head of the Electronic Business of the bank Illia Borovov told Interfax-Ukraine.
He said that the service will be available to all customers in the Alfa-Mobile Ukraine mobile application, and for online currency purchases in the application you will need to specify the purchase amount and the account (or a card) for debiting and crediting funds.
“Together with the launch of the online currency exchange, we will offer the opportunity of ordering currency cards to our customers,” Borovov said.
According to him, he expects a fairly high demand for the service from the first days of the service and the transition of a significant part of customers to online purchase of currency due to convenience. At the same time, in the medium term, cash exchanges through the banks’ cash offices and exchange offices will still be in demand by customers who are used to operating in cash, the expert said.
“Moreover, the withdrawal of foreign currency in ATMs is not yet allowed, therefore, the bank’s cash offices are the only place to receive cash currency,” Borovov said.
Asked about competition in the online currency exchange market during the first days of service legalization, he predicted that several other banks, which are actively developing digital services for clients, can launch it along with Alfa-Bank.
As reported, the launch of online currency exchange for individuals on February 7 was announced by PrivatBank and virtual Monobank, which issues cards through two partner banks: Universal Bank (a member of the TAS Group) and IBOX Bank both are based in Kyiv).

, ,

CHINESE NEW YEAR WILL BE CELEBRATED NEAR KYIV

On February, 9 and 10 Ancient Kyiv in the «Kyivan Rus Park» invites to an unusual celebration of the Chinese New Year. The kaleidoscope of emotions from the Chinese traditions in the entourage of Kyivan Rus will be waiting for the guests. And also: horse riding, delicious dishes cooked on open fire, hot drinks, master-classes, museums, and various winter amusements. And all these in the live medieval city!
Ancient Kyiv opens at 10:00. The program starts at 13:00.
The ticket price: a full adult ticket – 150 UAH, for pensioners and students – 100 UAH, for schoolchildren – 50 UAH, for preschool children – for free.
Ancient Kyiv in the «Kyivan Rus Park» is located in Kyiv region, Obukhiv district, the vill. Kopachiv.
Route taxis leave from Kyiv from the «Vydybitchi» metro station.
Details on the website www.parkkyivrus.com
The Interfax subscribers can save money with the “openbusiness-20” promo code for a 20%-discount for a full price adult ticket to the Principality of Kyivan Rus:
– by previous order by tel.: +38 044 461-99-37, +38 050 385-20-35
– or at the cash desk at the entrance to the «Kyivan Rus Park».