Business news from Ukraine

From June 3 to 5 traffic on North Bridge in Kiev will be limited

The Kievavtodor utility corporation will limit traffic on the North Bridge in Kiev from June 3 to 5 due to the ongoing repair of the rightmost lanes, the Kiev City State Administration said.
“From 08:00 on June 3 to 08:00 on June 5 on the North Bridge will partially limit traffic, warns CC “Kyivavtodor”. On the Northern bridge will carry out the current repair of the rightmost lanes”, – said in the message of the KSCA in Telegram-channel on Friday.
The work will be carried out on weekends to have less impact on traffic.
“CC “Kievavtodor” apologizes for the temporary inconvenience,” – noted in the message.

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“Magellan” shopping mall in Kiev put up for sale

The Deposit Guarantee Fund (FGVFL) has put up for auction in the Prozorro.Selling system a number of assets of insolvent MR Bank, including the Magellan shopping and entertainment center (SEC) in Kiev at a starting price of UAH 498.3 million, according to a press release from the FGVFL.
The lot price is six times lower than the previous attempt to sell these assets in the autumn of 2022, when the starting price of the lot was 3.1 billion UAH.
The lot includes the receivables under credit agreements, receivables and real estate, including retail and entertainment center “Magellan” (Kiev, 13-B, Glushkov Ave, total area 28.5 thousand square meters) and a property complex of 13 thousand square meters in the village of Krupets in Khmelnitsky region.
As reported, the National Bank of Ukraine on February 25, 2022 revoked banking licenses and liquidated banks under the Russian Federation: JSC “International Reserve Bank” (formerly – Sberbank) and “Joint-Stock Commercial Industrial Investment Bank” (PJSC “Prominvestbank”), which is 99.77% owned by Sberbank and the State Development Corporation “VEB.
The Magellan shopping mall was previously among the assets of businessman Anatoly Yurkevich’s Krai group. In mid-September 2017, the AMCU granted permission to Sberbank PJSC (Kiev) to purchase the assets of Kray Property in the form of an integral property complex of the mall.
The auction will be held according to the English auction model on June 8.
The proceeds from the sale of assets will be directed by the Fund for settlements with creditors of “MR BANK” JSC.

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Special Representative of Chinese Foreign Ministry arrives in Kiev tomorrow

Chinese Foreign Ministry special envoy Li Hui will visit Ukraine on May 16-17, Reuters reported, citing a Ukrainian government representative.
“Li Hui, China’s special envoy for Eurasian affairs and former ambassador to Russia, will visit Ukraine, Russia and other European cities as part of a trip that Beijing says is aimed at discussing a ‘political settlement’ of the Ukrainian crisis,” the report said Monday.
Earlier, it was reported that Li Hui will travel to Ukraine, Russia and European countries from May 15 to discuss the settlement of the situation around Ukraine.

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Due to accident in Hungary, train Vienna – Kiev is delayed

Non-rail carriages Vienna – Kiev, which departed from Vienna (Austria) on May 7, are delayed in transit for 6 hours due to a transport accident on the Hungarian railroad, Ukrzaliznytsia (UZ) said on Facetbook on Monday.
As the company notes, after arriving at the Chop station, the cars will be included in the train number 82 Uzhgorod – Kiev and will arrive in the capital on May 9 (instead of May 8 at 19.30) as part of the train number 750.
“We draw the attention of Ukrainian passengers: the delay will also affect return trains to Vienna. Please take this into account when planning connections and departures from Budapest airport”, – pointed out in the UZ.
As reported, on Sunday morning, nine cars of the Hungarian 35-car freight train with iron ore derailed between stations Újfehértó and Hajdúhadház. Hungarian railroad workers had just begun to lift the wagons. Thus, the restoration of the railroad track and the contact network will last at least one day.
It is specified that train traffic between Hajdúhadház and Újfehértó is suspended. Hungarian Railways offers interchanges by substitute bus, and Hungarian and Austrian Intercity trains between Budapest and Zahony will run between Budapest and Nyiregyház via Miskolc with long travel times.

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Kiev “Premier Palace” by end of 2022 received net loss of 15.7 mln UAH

The Premier Palace Hotel (Kyiv) made a net loss of UAH 15.7 million in 2022, compared to net profit of UAH 66.4 million in the previous year.
According to the annual financial report in the information disclosure system of the National Commission on Securities and Stock Market, the net income of the hotel last year decreased by 42.1% – to 143.9 million UAH.
According to the company, last year the hotel’s operating profit decreased 13 times compared to 2021 and amounted to 6.7 million UAH. Its uncovered loss increased by 2% up to UAH 978.5 mln. Current liabilities decreased by 3.7% to UAH 378.2 mln, while there were no long-term liabilities at the end of the year.
In general, the value of assets of the company for the year decreased by 10.3% to 265.8 mln hryvnia.
As stated in the report, the main negative factor that affects the work of the hotel in 2022, was the military aggression of the Russian Federation. Besides it is stated the absence of state programs of hotel business support and imperfect system of tax legislation.
The hotel plans to increase guest satisfaction index from 92,5% to 95% in 2023 by implementing a renewed concept Ideal Meeting. Plans also include attracting/expanding new segments of embassies, international foundations and missions, which will be the main driver of demand until the end of hostilities in the country.
Premier Palace Hotel PJSC was registered in 2004. According to the National Commission on Securities and Stock Market, as of the fourth quarter of 2022, its shareholders are Pumori Enterprises Investments Ltd. (Cyprus, 62.2%) and Ukrainian LLC “East European Hotel Company” (24.1%), LLC “Hotel Complex Rus” (13.5%).
According to Opendatabot, the beneficiary is Natalia Selivanova.
Premier Palace Hotel Kyiv is owned by the Financiere group which also owns Premier Hotel Dnister (Lviv), Premier Hotel Lybid (Kiev) and Premier Hotel Odesa (Odessa). The group includes hotel holding Pumori Enterprises Investments LTD and East European Hotel Company LLC, which are shareholders of Ukrainian hotels.

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Flood level in Kiev stabilized

After two days of minor rises, the flood level in the Ukrainian capital has stabilized and remained at the same mark as the day before, the Telegram channel of the Kyiv City Military Administration (KCWA) said Monday morning.
“As of 9:00 on 01.05.2023, the water level in the Dnieper River in Kiev near the bridge “Metro” is 9,296 cm (according to the Baltic system of heights). Water temperature: 13°C … No emergency flooding has been recorded for the city of Kiev. The danger level of hydrological phenomena remains I (yellow),” noted the head of the State Hydrometeorological Administration Sergei Popko.
At the same time, he said, floodplain flooding with a layer of about 20-30 cm is retained. “Floodplain areas remain flooded – islands in the park “Muromets”, “Hydropark”, Trukhanov Island, Galernyi bay, Korchevatoe, private areas near Osokorki. Industrial objects and residential massive cities are out of danger of flooding”, – Popko added.

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