Businessman Vyacheslav Mishalov, who has significant assets in several sectors, mainly concentrated in the Dnipro region, is refraining from investing in Ukrainian real estate until values in this market are reassessed, he said in an interview with the Interfax-Ukraine news agency.
“I am not a fan of construction or the construction business because real estate prices in Ukraine are not high enough to make it a good business. Accordingly, you either have to build poorly or sell at high prices. I don’t like this format,” he said.
Mishalov added that he does not see much success among the few developers who are trying to build high-quality properties and sell them at high prices.
“There are no new construction projects, and I don’t think there will be any in the near future. While there is still some movement in Kyiv, in Dnipro I see several developers just finishing construction and fulfilling their obligations. With that level of cost, it is not interesting to me as an investor,” the businessman said.
According to his assessment, there was a surge in western Ukraine, but it was very short-lived: those who managed to get out of there with their money were lucky, while the rest will remain there with significant losses.
“I live in Dnipro, which has been hit hard throughout the war, but I have no intention of buying real estate in western Ukraine. For many reasons. I believe that it is overvalued today. And as soon as there is some prospect of stability, it will turn to rubble. So it’s not an asset, it’s some kind of psychopathy,” Mishalov believes.
According to him, it probably makes sense to invest money in some real estate in western Ukraine if you plan to move there. “But there is no quality real estate there, and there are no plans to build any, because everyone was chasing hype and speed — to get money from potential clients as quickly as possible. It’s not quality construction,” he added.
The investor noted that when he was choosing where to buy an apartment in Dnipro and Kyiv, there were literally only a few buildings that were well-designed and built.
“There needs to be a major revaluation of values in the real estate sector. Construction must begin in accordance with existing building codes,” Mishalov emphasized.
At the same time, he said that he has a project to restore the facade of a historic building in the center of Kyiv, on which he wants to spend “tens of millions of hryvnias.” According to the businessman, he was “in a good mood” after talking with the first deputy head of the State Architectural and Construction Inspection, Iryna Gioane, who on her own initiative welcomed the company’s initiative.
“We have been given permission to restore the building. We will try to finish everything beautifully by late autumn—restoring it as it was designed 100 years ago,” Mishalov said.
He added that the company had been trying to obtain this permit for a year and a half, even though there is little demand for restorers in the country, with only two teams remaining: one in Kyiv and one in Odesa.
He also clarified that his businesses operate separately from those of his father, Dmitry Mishalov, also a well-known Dnipro businessman and developer (Master Group).
As the businessman said in an interview, all his assets are already quite well structured and managed through the closed non-diversified venture corporate investment fund Fortress.
Mishalov’s investments include the financial company Ye Groshi, the provider Fregat, the Lotus network of four gas stations in Dnipro and Novomoskovsk, the petroleum products trader Lotus Oil Trading, an IT division, and the news portal Informator.
The fund, in turn, is managed by the asset management company MPSS LLC from Dnipro, owned by Serhiy Shishkin (50%), Ihor Sukhodolsky (41%), and Olga Mukhina (9%).
“I don’t have my own asset management company; I manage everything through the fund as much as possible. In my opinion, today it is one of the best tools for ownership and management, including financial flows,” Mishalov emphasized.
Source: https://interfax.com.ua/
Australian businessman, head of investment company Tattarang and Fortescue Metals Andrew Forrest will invest $ 500 million in the Development Fund for Ukraine UDF, created together with the investment company BlackRock, said the Ministry of Economy of Ukraine from the Conference on Reconstruction in London.
According to a release on its website, Forrest will be a strategic advisor on the creation of UDF and its investment groups – green strategic metals, green iron, green hydrogen and green electricity – and will serve on an advisory panel for the Ukrainian government.
Forrest, in turn, speaking at the conference, urged other global investors to see Ukraine as an excellent long-term investment opportunity.
It is specified that the idea of UDF was conceived and developed by Forrest and inspired by the World War II Marshall Plan, and back in March 2022 he approached Larry Fink, head of BlackRock, to get advisory support for the creation of the investment vehicle.
His plans to be an anchor investor and invest $500 million in a green energy fund first became publicly known in November 2022.
In May 2023, the Ministry of Economy of Ukraine announced the appointment of BlackRock FMA as a consultant on the design of the Ukraine Development Fund.
“We should not seek to rebuild what Ukraine was with its outdated Soviet-era infrastructure…We will build a future that is digital, green, fair and free of corruption,” Forrest said at the conference.
The press release notes that Forrests Minderoo Foundation has already contributed millions of dollars to help the Ukrainian people, including funding the first humanitarian grain shipment from Ukraine in August and providing critical storage facilities for farmers whose crops would otherwise have died. In addition, 180 generators were provided to provide power.
The National Anti-Corruption Bureau of Ukraine (NABU) conducted a search in the apartment of UFuture holding founder Vasyl Khmelnitsky, the businessman himself said on Facebook.
“Already in the office found out that I have guests from the NABU at home. Days of exemplary searches after nights of rocket attacks for Ukrainian businessmen have become a tradition. Unfortunately. This visit of law enforcement agencies to me concerns a case that has been under investigation for more than 4 years, and all these years I am in Kyiv, I am not hiding from anyone, and investigative experiments and interrogations have already been carried out repeatedly”, – wrote Khmelnitsky.
He said that the case concerns a plot of land, which Khmelnitsky together with a partner purchased for the construction of a new modern school at an open auction, paid the full price (18.9 million UAH) and received the rights of the owner.
“For us, it is 100% a social project, not a business. It is access to quality school education that paves the way for Ukraine’s real transformation and reforms in the long term. In the short term – Kiev at the expense of private investment gets the necessary infrastructure for comfortable life of citizens, and the inhabitants of the residential complex – an additional advantage,” he wrote.
The businessman stressed that the legality of the purchase of the land plot at the auction and the conclusion of the sale agreement is confirmed by the court.
“But the NABU believes that the price is too low”, – said Khmelnitsky.
According to the businessman, in accordance with the city planning documentation at this address can not be placed commercial or residential real estate, this explains the price of the contract.
Khmelnitsky noted that in war conditions it is necessary to stop the mass practice of “mask show” and intimidation of business. “All remaining entrepreneurs in the country, believe me, are 100% patriotic and ready for a civilized dialogue. In the last few months alone I have heard about dozens of such cases with show off searches of respected businessmen. Both the Ukrainian society and foreign investors are observing this negative trend. There is a sincere hope that the authorities are listening to the voice of business because it is only possible to defeat the external enemy and develop the Ukrainian economy by joining forces,” he said.
Khmelnytskyy said that he is not going anywhere and is ready to answer all questions.
Florian Bollen, a German businessman and co-owner of craft breweries German Kraft Beer, Tarantino Family restaurant chain is coming under the control of Florian Bollen, the chain’s website says.
“From October 1, 2022, the Tarantino Family will come under the control of the German businessman and co-owner of craft breweries Florian Bollen. The new owner already owns the German Kraft Beer chain in London, plans to invest and develop the restaurant market in Kyiv,” the message says.
Bollen’s LinkedIn indicates that the businessman will take over the restaurant chain.
“The start of work in Kyiv will be a great confirmation of our belief in the victory of the Ukrainians and a good example for European investors,” he commented.
The Tarantino Family network in Kyiv includes restaurants “Rukkola”, “Murakami”, Villa Riviera and others, in total 28 objects. Among the owners of the network is Dmitry Fedotenkov.
As reported, the capital’s law enforcement officers are investigating the criminal activities of the owners of a well-known restaurant chain for the legalization and withdrawal of funds in the Russian Federation. According to the Kyiv prosecutor’s office, citizens of Ukraine – the owners of a large restaurant chain – retained control over the business in the territory of the aggressor country, transferring it to the management of a Russian restaurateur. The name of the network was not called, but later information spread in the media that it was about the Tarantino Family.
Israeli businessman Zafar Ahimov has purchased two NeoPuff RD-900 breathing resuscitators with compressors for two Ukrainian regional perinatal centers.
As Ahimov told the Interfax-Ukraine agency, during June the equipment was delivered to the Chernihiv city maternity hospital and the Ivano-Frankivsk regional perinatal center.
Resuscitators provide the possibility of respiratory support for prematurely born children directly in the delivery rooms immediately after birth. The further medical prognosis and the results of nursing children in critical conditions depend on high-quality and timely medical care for babies in the first, as doctors say, “golden minutes of life”.
In addition, resuscitators make it possible to provide emergency medical measures during air raids in specially equipped maternity shelters.
Ahimov is an Israeli citizen, in Ukraine he is engaged in investments in commercial real estate and construction.
Ukrainian businessman Oleksandr Yaroslavsky, the former co-owner of UkrSibbank, could acquire Bank Credit Dnipro, which is currently owned by Ukrainian businessman Victor Pinchuk.
The Antimonopoly Committee of Ukraine (AMC) told Interfax-Ukraine that the agency allowed Yaroslavsky to purchase more than 50% of the shares in the bank.
EastOne investment and consulting group, combining Pinchuk’s assets, did not comment on this information.
Yaroslavsky at the end of January informed Interfax-Ukraine agency about the completion of preparation of the documents necessary for the transaction on the purchase of Bank Credit Dnipro, which could happen in the coming days.
Bank Credit Dnipro was founded in 1993.
According to the National Bank of Ukraine, as of October 1, 2019, in terms of total assets (UAH 11.784 billion) the bank ranked 21st among 76 existing ones. In early February this year, the bank completed the procedure of increasing charter capital by UAH 866.562 million, or 32%, to UAH 3.587 billion.
