Business news from Ukraine

DRAGON CAPITAL REPORTS ON 2.2-FOLD GROWTH IN NON-COMMERCIAL PROJECTS INVESTMENTS IN 2018

President of the European Business Association (EBA) Tomas Fiala, his group of companies Dragon Capital and its employees contributed a total of UAH 22.6 million for charity and sponsorship purposes in 2018 to support Ukrainian projects for economic and social development, while in 2017 over UAH 10 million was sent for these purposes.
According to a press release of Dragon Capital issued last week, the Centre for Economic Strategy, an independent policy think tank, analytical platform VoxUkraine and its VoxCheck project, the New Leaders National Project, Anti-Corruption Action Centre, Transparency International and other NGOs working to support economic reforms, improve the business climate and help fight corruption in Ukraine together received close to UAH 12 million compared with UAH 6.1 million a year ago.
More than UAH 4.9 million was raised to finance the development of children’s hospital Ohmatdyt, help patients fighting cancer, buy a hemo-analyzer for the Western Ukrainian specialized children’s medical center (Lviv), support orphanages, repair a kindergarten, and sponsor the IWCK Charity Bazaar.
Last year Dragon Capital said in the report that the group contributed some UAH 1 million to Army SOS and IWCK Charity Bazaar. The group said that this year Dragon started to cooperate with Veteran Hub, Ukraine’s first open space for veterans of the war in eastern Ukraine and NGOs serving to protect their rights, as well as with other veteran associations in order to facilitate former soldiers’ social adaptation, particularly through employment.
According to the press release, over UAH 5.1 million went this year (UAH 3 million a year ago) to finance the Ukrainian Emerging Leaders Program at Stanford University, the Prometheus educational platform, the GoGlobal program aimed at promoting studies of foreign languages in Ukraine, the Ukrainian Academy of Leadership, etc.
According to the press release, Dragon Capital also donated UAH 0.6 million to support a public organization, whose mission is to preserve and promote the cultural, historical and archaeological heritage of Ukraine; the Lviv Media Forum, etc.
Dragon Capital group of companies, founded in 2000, is one of the largest in the Ukrainian investment market. Fiala said that in the past three years jointly with partners from the EU and the United States the group invested almost $500 million to Ukraine.

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DRAGON CAPITAL INVESTMENT FUND WITH CO-INVESTORS INVEST $400 MLN IN UKRAINIAN PROPERTY IN THREE YEARS

Dragon Capital Investment Fund, together with its partners, has invested $400 million into Ukrainian real estate since 2016, the press service of Dragon Capital has reported.
“Since 2016, Dragon Capital, together with its European and American partners, has invested $400 million into Ukrainian real estate. Our future investment plans will significantly depend on the pace of reforms in Ukraine, above all in judiciary and law enforcement,” Dragon Capital CEO Tomas Fiala said.
The partners of the fund are Goldman Sachs, George Soros, and OPIC.
As reported, Dragon Capital Group jointly with co-investors since 2016 has been actively investing in purchase of commercial real estate, mainly in Kyiv city and region.
The portfolio of the investment fund, as of October 2018, includes several business centers – Kyiv’s Prime and Eurasia, business center located at 98, Velyka Vasylkivska Street, Horizon Park, Business Center Platinum, and Zaporizhia-based Eco Tower Business Center.
The portfolio of shopping centers includes the Victoria Gardens shopping center (Lviv), Sky Park shopping center (Vinnytsia), Pyramida shopping center (Kyiv), logistics centers near Kyiv — West and East Gate Logistic, Omega 1 and Omega 2; a logistic complex and industrial complexes in Brovary.
Dragon Capital Investments Limited is part of Dragon Capital group of companies, founded in 2000 and one of the largest in the Ukrainian investment market. It works in the field of direct investment and financial services, provides a full range of investment banking and brokerage services for corporate and private clients.

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GOLDMAN SACHS AND DRAGON CAPITAL BUYING KYIV’S MALL

Dragon Capital Investments Limited (Nicosia, Cyprus) and the Goldman Sachs Group (New York, the United States) are buying the Alladin shopping and entertainment center and the Platinum class B six-story business center adjacent to the shopping center located at 3A, Hryshka Street in Darnytsky district in Kyiv. According to the agenda of a meeting of the Antimonopoly Committee of Ukraine scheduled for October 18, the regulator is to permit Dragon Capital Investments Limited and the Goldman Sachs Group to acquire an indirect joint control over Royalty-Rent LLC (Kyiv).
Retail & Development Advisor, acting as a broker in the deal, on Wednesday wrote on its Facebook page that the deal to acquire the Platinum business center with an area of 4,100 square meters by Dragon Capital was finalized.
Britain’s Meyer Bergman acquired the Alladin shopping center in 2008 for $60 million. The area of the facility is 10,500 square meters.
According to the unified public register, as of October 18, 2018, participants in Royalty-Rent LLC were Leadnra Holdings Limited (99.98%), Fortbridge Limited (1.01%) and Royalty-Rent-Co-Invest LLC (0.01%).

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GOLDMAN SACHS AND DRAGON CAPITAL BUY 68,800 SQ METERS BUSINESS CENTER IN KYIV

The Antimonopoly Committee of Ukraine (AMC) has allowed Dragon Capital Investments Limited (Nicosia, Cyprus) and The Goldman Sachs Group (New York, the United States) to acquire indirect joint control over the Horizon Park office center with a total area of 68,800 square meters in Kyiv. According to the AMC, the committee, in particular, permitted Dragon Capital Investments Limited to indirectly acquire assets in the form of an integrated property complex located at 12 Amosova Street and 12 Hrynchenko Street. “This concentration takes place along with concentration in the form of the mediated (through the subsidiary Horizon Park, Kyiv) acquisition by The Goldman Sachs Group, Inc. of assets in the form of a single property complex … owned by Ukrsotsbank joint-stock company,” the regulator said.
According to the unified state register, as of October 3, 2018 the owner of 100% in the charter capital of the subsidiary Horizon Park is Melador Investments Limited. The ultimate beneficiary is Tomas Fiala, the owner of Dragon Capital Investments Limited.
Dragon Capital Investments Limited is part of Dragon Capital group of companies, founded in 2000 and one of the largest ones in the Ukrainian investment market.

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DRAGON CAPITAL INVESTMENTS ACQUIRES 17,000 SQ M BUSINESS CENTRE

Dragon Capital Investments Limited, a member of the Dragon Capital group of companies, has acquired Eco Tower, a 17,000 sq m business centre in the city of Zaporizhia.
The company acquired the business centre from Conwert Group (Austria), the buyer said in a statement on its website.
The deal value is not disclosed.
“I am very pleased to mark our first real estate acquisition in eastern Ukraine. This investment illustrates our confidence in the stability and business potential not only of Kyiv and Kyiv region, but also of key economic regional hubs of the country, of which one is Zaporizhia,” CEO of Dragon Capital Tomas Fiala has said.
Eco Tower is the largest Class A business centre built in 2011. Its building has 19 floors and two levels of underground parking for 92 cars. It is located at 160 Soborny Avenue in the centre of the city.

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DRAGON CAPITAL BUYS SITE FOR WAREHOUSES NEAR KYIV FROM AUSTRIA’S CA IMMO

The Antimonopoly Committee of Ukraine (AMC) has allowed Dragon Capital Investments Limited (Cyprus) to acquire Korma Development LLC (Kyiv), owned by Europolis GmbH, which is part of the large real estate group CA Immo Group (Vienna, Austria).
According to the AMC, the agency permitted Dragon Capital Investments Limited to acquire a stake in the charter capital of Korma Development, which provides the buyer with over 50% of the voting shares on the company’s board.
According to the unified state register, Korma Development is the owner of a 100% stake in the charter capital of Europolis Property Holding LLC (Kyiv).
Europolis Property Holding owns several land plots in the village of Kolonschyna in Kyiv region near highway E-40 (M-06), which are designed for construction and operation of storage facilities.
The total area of the plots is about 50 hectares.
According to CA Immo Group, in 2017 it sold a site with an undeveloped project in Ukraine. As of 2015, the company estimated the value of the Ukrainian asset at EUR3.4 million.
Dragon Capital Investments Limited is part of Dragon Capital Group, founded in 2000, which is one of the largest in the Ukrainian investment market. It works in the field of direct investment and financial services, provides a full range of investment banking and brokerage services to corporate and private clients.

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