Business news from Ukraine

DCH OWNER YAROSLAVSKY BUYING PROMINVESTBANK – DCH

KYIV. May 19 (Interfax-Ukraine) – Ukrainian businessman, the owner and president of DCH, Oleksandr Yaroslavsky after receiving the results of consideration of his application to buy Ukrainian Prominvestbank (Kyiv) by Russia’s Vnesheconombank (VEB) intends to submit an application to the National Bank of Ukraine (NBU) to get the approval of the acquisition of the bank, DCH said in a press release on Friday.
“Yesterday, on May 18, 2017, the supervisory board of Vnesheconombank discussed the proposal of Yaroslavsky to buy Prominvestbank, the subsidiary bank of VEB in Ukraine,” the press service of DCH said.
Russia’s Kommersant publication reported on Friday that Yaroslavsky is among potential buyers of the bank. The businessman made his proposal to VEB at the end of last week. On May 18, the supervisory board of VEB was informed on the potential buyers. Russian Prime Minister Dmitri Medvedev held the meeting of the bank’s supervisory board.
Kommersant recalled that one group of potential investors is known – the developer and founder of MosCityGroup Pavel Fuks and Verkhovna Rada’s MP Maksym Mikitas.
Yaroslavsky told Kommersant that earlier he held talks with Sberbank on the acquisition of its subsidiary in Ukraine, but the seller selected another buyer.
Hungary’s OTP also showed its interest in Prominvestbank, but it was not among potential buyers presented to the board, Kommersant said.

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CONSUMERS-SKLO-ZORYA INVESTS EUR12 MLN IN MODERNIZATION OF GLASS EURO BOTTLE PRODUCTION – OFFICIAL

KYIV. May 18 (Interfax-Ukraine) – Investments in the modernization of production of glass euro bottles by PJSC Consumers-Sklo-Zorya (Rivne region), one of the largest glass container manufacturers in Ukraine – Verallia, amounted to EUR12 million.
“French investors have modernized the production of glass euro bottles at Consumers-Sklo-Zorya for EUR12 million,” Head of Rivne Regional State Administration Oleksiy Muliarenko told the Uriadovy Kurier newspaper.
According to information on the company’s website, investments were made in 2016. In particular, more than EUR10 million was spent on the installation of new equipment in furnace No. 2, which specializes in production of extra flint glass.
“The complete modernization of the three production lines will strengthen Verallia’s position in the market of small and medium-sized producers. The new equipment will strengthen partnership with many customers who have been users of transparent glass packaging for many years,” the company website said.
Consumers-Sklo-Zorya employs 800 employees. The plant produced one million units of goods per day.
The majority shareholder of the company is Germany’s Verallia Deutschland Aktiengesellschaft.

UDP DEVELOPER, LVIV STANDARDBUD LLC TO BUILD LVIVTECH.CITY INNOVATION PARK IN LVIV

KYIV. May 18 (Interfax-Ukraine) – Kyiv-based Ukrainian Development Partners (UDP) jointly with Lviv StandardBud LLC (Lviv) are implementing a project on construction of the LvivTech.City innovation park in Lviv, UDP said in a press release on Wednesday.
According to the report, UDP buys 25% of the charter capital of Lviv StandardBud LLC to participate in the project. The sides have arranged that the agreement will be signed by late June 2017.
LvivTech.City will be located on a land parcel of 1.77 ha on the territory of the industrial zone of former Lvivprylad plant. The project would allow creating new jobs and open the territory of the closed enterprise for society.
Potential residents of the innovation park will be high-tech companies operating in IT, energy saving, bio technologies and other spheres, businessmen and startups, research centers, incubators and accelerators, educational initiatives in the technologies and design area.
“It is planned to create modern eco-system stimulating to develop for high-tech companies in the innovation park. The project envisages the creation of the complex infrastructure using the “live-work-study-relax” principle: business (class A offices, conference centers), technological (all the required communications) and social (educational and recreation centers, medical centers, dwelling, stores and other buildings),” the company said in the press release.
According to the report, the gross area of the office sector of the LvivTech.City will be over 40,000 square meters. The park would have parking zones, green zone and territories for recreation. In addition, the project will be implemented meeting the LEED green building standards.
The completion of the first stage of the LvivTech.City is scheduled for H2 2018.
“This is a social project for our company, as its approximate payback period is over 15 years. We have decided to take part in it, as we believe that this is a strategic investment. The future of Ukraine is development of advanced technologies. Lviv has a large potential in the area. The favorable conditions are required for development. They could be created in the innovation parks. We are glad to use own knowledge and experience to build a modern European innovation park in Lviv,” the company said, citing Ukrainian businessman, founder of K.Fund and a majority shareholder in UDP Vasyl Khmelnytsky.
Ukrainian Development Partners (UDP) was founded in 2002 as a managing company to consolidate assets and operations in the field of real estate.

RADA RATIFIES AGREEMENT ON ECONOMIC COOPERATION SIGNED BY UKRAINIAN, CROATIAN GOVERNMENTS

KYIV. May 18 (Interfax-Ukraine) – Ukraine’s Verkhovna Rada has ratified the agreement on economic cooperation signed by the Ukrainian and Croatian governments in Kyiv on March 27, 2013.
A total of 231 lawmakers backed the bill on ratification of the agreement on economic cooperation signed by the Ukrainian and Croatian governments (No. 0138) on Wednesday.
The agreement is intended to help developing partnership mutually beneficial relations between Ukraine and Croatia in the economic sphere, in particular, ship building, engineering, energy and electrical engineering industries, infrastructure, agriculture and food industry.
The document envisages the creation of a joint commission for economic cooperation that would discuss development of bilateral economic relations, determine new opportunities for the further development of future economic cooperation and draw up proposals to improve the conditions for economic cooperation between the companies of the two states.
Deputy Economic Development and Trade Minister, Trade Representative of Ukraine Natalia Mykolska said that in 2016 Ukrainian exports to Croatia totaled over $40 million. It almost doubled compared to 2015.

WEBSITE WITH LARGEST TOURIST ATTRACTION PLACES DATABASE LAUNCHED IN UKRAINE

KYIV. May 18 (Interfax-Ukraine) – The website about tourism in Ukraine Zruchno.Travel, uniting the database with over 49,000 tourist attraction places in the country, was launched on May 17.
During nine months the Association of Hospitality Industry of Ukraine (AHIU), E-Ukraine Association, specialists in the tourism sphere, software designers, journalists, bloggers and social scientists designed and filled in the portal.
AHIU Board Chairman Oleksandr Liyev said at a press conference in Kyiv on Wednesday that Zruchno.Travel seeks to unite information about all existing tourist attraction places in the country. Today its database is the largest in Ukraine.
The portal has the following services: offers how to organize leisure activities during a weekend, information about events, offers of tours, tourist attraction places, catering and accommodations services in different regions of Ukraine. The portal would post news related to travelling and tourism in Ukraine.
Liyev said that representatives of power in each region can fill in pages aiming at popularizing and promoting tourism in their regions.
He said that some UAH 3 million was spent to launch the portal.
The co-founder of E-Ukraine Association and Zruchno.Travel Project Manager Yehor Stefanovych said that machine learning and big data solutions used by the portal would help to centralize the tourism sector in Ukraine, understand the main trends and existing tourist flows and forecast demand of Ukrainian tourists.