Business news from Ukraine

Business news from Ukraine

Zaporizhstal invested UAH 5.3 mln in modernization of its hot rolling mill

Zaporizhstal Steel Works has allocated UAH 5.3 million to modernize the APR-4 longitudinal slitting unit in the hot rolling shop (HRS).

According to its press release on Tuesday, the project involved upgrading key components of the unit and enhancing its technical capabilities to handle coils weighing up to 16 tons. Installation and commissioning were carried out by specialists from the division together with the contractor Etalonbudservis.

It is specified that the upgraded equipment will allow processing rolls of double weight up to 16 tons, expanding the range of thin-gauge rolled products and improving the quality of metal processing in the HRS.

Zaporizhstal is a joint venture of the Metinvest Group, whose main shareholders are System Capital Management (71.24%) and Smart Steel Limited (23.76%). Metinvest Holding LLC is the managing company of the Metinvest Group.

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Lifecell and Ericsson sign agreement to upgrade network core

Ukraine’s third-largest mobile operator, Lifecell LLC (TM lifecell), has signed a strategic agreement with Swedish telecommunications equipment manufacturer Ericsson to upgrade its network core to improve 5G readiness, the company said in a statement on Monday.

“The modernization of the core will allow lifecell to increase network performance and stability, optimize resource utilization, and most importantly, significantly reduce the time it takes to bring new services to market,” the operator said.

Lifecell explained that as part of the project, the company is transitioning to a cloud-native network core architecture based on Ericsson solutions, specifically data transmission and Internet access services (Packet Core) and subscriber data management systems (User Data Management).

It is expected that the network core will be upgraded in accordance with 5G principles, which will subsequently create the technical basis for improving service quality.

Lifecell specified that the transition to a cloud-native core will also reduce the risk of communication interruptions and downtime for subscribers.

In addition, the operator is simultaneously modernizing its subscriber data management system based on Ericsson’s Cloud Native Unified Data Management (UDM) solution, which ensures secure management of subscriber data.

As reported, lifecell LLC increased its revenue from telecommunications services by 18.9% to UAH 11.58 billion in the first nine months of 2025. According to data from the National Commission for the Regulation of Electronic Communications and Postal Services (NCCEC), lifecell increased its capital investments by 41.7% to UAH 2.97 billion in the first nine months of 2025.

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European Union may provide Ukraine with grant to modernize border crossing point with Romania

The European Union may provide Ukraine with a grant to modernize the Shepit-Izvoarele Sucevei border crossing point on the border with Romania as part of the Interreg VI-A NEXT Romania-Ukraine 2021-2027 program, according to the press service of the Recovery Agency. According to the report, the program’s governing body has approved the selection of the BOND – Border Operations and National Development project. The project has been recommended for funding and may receive a grant of up to €690,900, which is 90% of the total project budget.

The Recovery Agency noted that BOND is the next stage of comprehensive work on opening the Shepit-Izvoarele Sucevei border crossing point, provided for by an intergovernmental agreement between Ukraine and Romania. Earlier, as part of the Romania-Ukraine 2014-2020 program, mirror infrastructure projects were implemented on both sides of the border – bridges and access roads were built, and flood protection measures were carried out on a 2 km section on the Ukrainian side and a 3 km section on the Romanian side.

As specified, the BOND project provides for the technical equipment of the checkpoint on both sides of the border, in particular the purchase and installation of specialized equipment for the safe and efficient operation of the checkpoint, as well as the development of a joint cross-border strategy for the development of border areas.

The Interreg NEXT “Romania-Ukraine” program for the period 2021-2027 is aimed at supporting cross-border cooperation and covers the border counties of Romania and the Zakarpattia, Ivano-Frankivsk, Chernivtsi, and Odesa regions of Ukraine.

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Kernel focuses on modernizing existing elevators

Kernel, one of Ukraine’s largest agricultural holdings and elevator operators, is focusing its current investment activities on specific technological solutions for the development of its elevator network and will implement its own engineering developments at these facilities, said Sergey Shcherban, head of Kernel’s storage department, at the Grain Storage Forum in Kyiv on Friday.

The expert noted that the construction of new large facilities in the format of “sand elevators” (projects “from scratch” – IF-U) currently requires a long investment cycle – from 8 to 10 years. In this regard, the company is directing its available capital budget (CAPEX) toward improving the efficiency of existing assets.

“Our budget is specifically targeted at specific technological solutions. In particular, we have developed our own grain recuperator, which we plan to install at least at two elevators in cooperation with the Sokol company. This development will save 20% of energy when drying grain in certain types of dryers,” Shcherban explained.

According to him, Kernel will soon begin producing its own cleaning equipment. The agricultural holding’s specialists have developed a machine for cleaning, calibrating, and sorting grain, which allows working with raw materials of any quality.

“We have acquired the technology, and now this equipment is being put into practice. The recuperator and cleaning machine are our own designs. We need to approach the solution of non-standard problems of agricultural producers through process optimization,” emphasized the head of the department.

Kernel is the world’s largest producer and exporter of sunflower oil, the largest exporter of grain from Ukraine, and a leading producer of grain and oilseeds in Ukraine. It is one of the largest producers and sellers of bottled oil in Ukraine. It is engaged in the cultivation and sale of agricultural products.

Kernel is the largest operator in the grain storage market in Ukraine. It has a network of more than 60 elevators with a one-time storage capacity of about 3.5 million tons. Its main assets are concentrated in the Poltava, Cherkasy, Chernihiv, Sumy, and Kirovohrad regions. The agricultural holding’s logistics infrastructure is supported by assets in the ports of Chornomorsk, including the powerful Transbalkterminal grain terminal (over 190,000 tons of storage capacity) and a stake in the Olymp terminal.

In fiscal year 2025 (FY, July 2024 – June 2025), Kernel supplied 8 million tons of agricultural products to the global market. The agricultural holding company earned $238 million in net profit, which is 42% more than in FY 2024. Kernel’s consolidated revenue in FY 2025 reached $4.115 billion, which is 15% more than in the previous financial year.

The company’s debt obligations at the end of September amounted to $726 million, including bank credit lines of $104.5 million compared to $146.7 million at the beginning of the year.

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Ukrenergomashiny will invest UAH 125 mln in relocation and modernization of production

JSC Ukrenergomashiny, more than 75.22% of whose shares are owned by the state, has planned capital investments of UAH 125 million for the current year, in particular for the organization and costs of relocating part of its production facilities to the Zakarpattia region, according to the company’s interim financial report for the first half of 2025.

“The total volume of planned capital investments for 2025 is UAH 125 million, including the organization of events and expenses for the relocation of part of the production facilities to the Zakarpattia region, which are planned to be covered by funds from the budget reserve fund in accordance with the relevant resolution of the Cabinet of Ministers,” the published report states.

As reported, in April 2024, the company announced without details its decision to establish branches in the western regions of Ukraine: Lviv, Zakarpattia, and Chernivtsi. However, the press service clarified at the time that the company would remain in Kharkiv, and the branches would be created to speed up the production of electric traction equipment and logistics processes in order to quickly deliver equipment under export contracts.

According to the financial report for the first half of this year, in 2025, the largest investments are planned for the development of existing production facilities, in particular, the purchase of new equipment, overhaul, and modernization of existing equipment. In particular, UAH 38.4 million is planned to be allocated to provide production with the necessary organizational and technical equipment and tools, and UAH 7.4 million to develop auxiliary production and a laboratory and experimental base.

“These measures are partially financed from our own funds and from funds attracted from the budget reserve fund,” the company said.

Ukrenergomashini reports that in the second quarter of this year, UAH 1.76 million was spent, including UAH 675,000 on the purchase of new equipment.

At the same time, it is emphasized that in order to preserve the production capacities of a strategic enterprise that is of particular importance for Ukraine’s energy sector, work is underway to relocate part of the equipment to western regions.

JSC Ukrenergomashyny reminds that it is one of the largest enterprises in the world and the only designer and manufacturer in Ukraine of a wide range of equipment for the energy sector, but during the war, it has mastered the production of a wide range of other special products, in particular, for urban transport (customer: Tatra-YUG LLC), an electric motor has been designed and launched into serial production. A number of products have also been mastered for Friendly Wind Technologies LLC.

In addition, the design of an automatic reversing switch and switch for trams and trolleybuses is being completed, a control unit for diesel locomotives has been developed, and the production of traction units has been established.

As reported, the company ended January-June of this year with a net profit of UAH 0.49 million, while for the same period last year it was UAH 20.81 million, with a slight decrease in net income to UAH 468.85 million.

According to the report, sales in the second quarter amounted to UAH 243.55 million, of which UAH 132.255 million were export deliveries (54.3% of sales), with products exported to Kazakhstan, India, Armenia, Bulgaria, and Hungary.

The main customers (more than 5% of total revenue) include Ukrhydroenergo, NAEK Energoatom, Centrenergo, Mykolaiv Locomotive Repair Plant, Kryukiv Railway Car Building Works, DTRZ, Tatra-Yug, as well as Kozloduy NPP (Bulgaria), Paks NPP (Hungary), AAEK (Armenia), and KBI Energy (Kazakhstan).

At the same time, the value of concluded but not yet executed agreements (contracts) as of the end of the second quarter of 2025 exceeds UAH 8 billion, and the total amount of payments remaining to be paid under these contracts is UAH 2.86 billion.

Ukrenergomashyny JSC names foreign companies Andritz (Austria), Voith (Germany), General Electric (USA), and Bharat Heavy Electric Ltd. (India) as its main competitors and assesses competition in the markets as high.

JSC Ukrenergomashiny is the only manufacturer of turbine equipment for hydro, thermal, and nuclear power plants in Ukraine. It also produces electric motors for rail and urban transport.

As of July 1, 2025, the company employed nearly 2,600 people.

 

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PRAVIO invests EUR180 mln in modernization of Gadyachsyru

The PRAVIO group of companies is investing in the construction and modernization of the recently acquired bankrupt cheese factory Gadyachsyru (Poltava region) to transform it into a modern export-oriented enterprise producing soft cheeses, sour milk cheese, and other products, said RAVIO founder and president Valentin Zaporoshchuk in a comment to BusinessCensor.
He noted that he acquired Gadyachsyir in February 2025.
“All of these products are in demand on the European market today. The plans include the construction of a plant with a processing capacity of up to 1,000 tons of milk per day, with an investment of EUR180 million. These will be funds raised from European banks. We have partners from Europe who are ready to join us in the project,” Zaporoshchuk said.
According to him, an audit is currently being conducted at the enterprise, which has been idle for almost five years. The company’s problems began in 2013–2014, when Gadyachsyir remained almost the only Ukrainian dairy plant that exported products to Russia and had no other stable partners. Later, the plant tried to participate in international exhibitions, but financial difficulties became inevitable.
Zaporoshchuk is convinced that the site and the region are promising for the development of a new enterprise.
“The Poltava region is one of the largest in terms of milk production and large farms. At its peak, the enterprise processed more than 2,000 tons of milk per day. And that’s not a bad volume. Of course, other enterprises have now taken over these volumes. But when we build a new enterprise with a strategic set of solutions on this site, it will be competitive, and milk producers will return to us,” added Zaporoshchuk.
The PRAVIO Group of Companies unites the Ichnia Milk Canning Plant, which specializes in milk processing and the production of canned dairy products, the Proviant Trading House, and has a raw materials division – the Mayak agricultural company, which specializes in crop production, and the Obmachivski Zirky company, which specializes in animal husbandry and crop production.
The group of companies owns the PRAVIO, MamaMilla, Milada, and Ichnia trademarks, whose products are exported to 40 countries worldwide and distributed in Ukraine through its trading house Proviant.

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