Business news from Ukraine

Business news from Ukraine

“Lvovelectrotrans” announced tender for insurance services with budget of 3.150 mln UAH

Lviv municipal enterprise “Lvovelectrotrans” on January 26 announced a tender for compulsory civil liability insurance of land transport owners (trolleybuses) and carrier liability insurance, according to the system of electronic public procurement Prozorro.
Also, a tender was announced for voluntary third party liability insurance for economic activities of legal or natural persons – entrepreneurs and voluntary property insurance.
The expected cost of purchasing services is 3.150 million UAH.
The deadline for submission of documents is February 3.

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“Ukrnafta” announced tender for MTPL insurance

Ukrnafta PJSC on December 27 announced a tender for services of compulsory civil liability insurance for owners of motor vehicles (CMTPL).
As reported in the electronic public procurement system “Prozorro”, the expected cost is 2.884 million UAH.
Documents will be accepted until January 4.

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“Metinvest” announces tender to buy back its Eurobonds-2023 for up to $70 mln

Mining and Metallurgical Group Metinvest announced a tender to redeem its Eurobonds maturing April 23, 2023 for up to $70 million at a price of 70% to 80% of face value.
“The rationale behind the invitation (to tender) is to actively manage the group’s debt maturity profile to smooth debt service cash outflows and reduce liquidity shortages in the first half of 2023, given the highly volatile operating environment for the group and its subsidiaries,” Metinvest said in its information on the exchange.
The group stressed that it currently intends to continue servicing its debt, but the ongoing war in Ukraine, combined with volatile prices for Metinvest’s products, are creating unprecedented challenges for operations.
“The invitation gives the group’s investors an opportunity to reduce their exposure to Ukraine-related business in the context of the ongoing war and broader market turmoil,” Metinvest pointed out.
He specified that its Eurobonds-2023 with a total nominal value of $168.583 million are currently circulating in the market, although their initial issue size was $944.15 million.
Competitive and non-competitive bids for redemption are being accepted until the evening of December 9, and the results of the offer will be announced on December 12 with settlements on December 14.
“Metinvest” can continue the terms of the offer until the end of the day on December 23, but in this case will redeem the bonds at the price previously established during the tender minus another 3% of the face value with the final announcement of the results on December 28 and the settlement on December 29.
“Metinvest is a vertically integrated mining group of companies. Its major shareholders are SCM Group (71.24%) and Smart-Holding (23.76%), which jointly manage the company.
Earlier, similar tenders to buy the Eurobonds were announced by SCM’s energy subsidiaries: DTEK RES and DTEK Energy.
In particular, Ornex Limited of SCM Group is ready to buy DTEK RES Eurobonds issued for EUR325 mln at 8.5%, maturing in 2024, for the total amount of up to EUR20 mln at 30% of the face value. Bids were accepted until December 1, with the announcement of the results scheduled for December 5 and settlements on December 8.
DTEK Energy then announced that DTEK Holdings Limited is ready to buy its Eurobonds maturing in 2027 with a coupon rate of 7/7.5% for a total of $50 mln at a price of up to 27% of par. Bids will be accepted until the evening of Dec. 8, with the announcement of the results scheduled for Dec. 9 and settlement on Dec. 15.
According to the Stuttgart Stock Exchange, at the moment Metinvest’s Eurobonds are quoted at 79.67% of face value.

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Odessa customs announced tender for MTPL

Odessa Customs announced a tender for compulsory motor third party liability insurance for owners of hired vehicles on November 28, the electronic state procurement system Prozorro reports.
The expected cost is 48.3 thousand UAH.
Tender documents will be accepted until December 6 inclusive.

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IVANO-FRANKIVSK MAKES TENDER FOR DUAL-MODE TROLLEYBUSES FOR EUR 3.6 MLN

Communal enterprise Elektroavtotrans (Ivano-Frankivsk), together with the European Investment Bank (EIB), has announced a tender for the purchase of new trolleybuses with a possibility of making at least 10 km in off-wire mode with a length of 16.5 meters to 18.54 meters (articulated) for EUR 3.615 million.
According to the procurement announcement posted in ProZorro, it is planned to supply new low-floor dual-mode trolleybuses of a three-axle model with a width of no more than 2.5 meters excluding side mirrors and a height of no more than 3.8 meters. Total passenger capacity is at least 120 people, the number of seats is 38, including four seats for priority category passenger and the number of places for wheelchair is at least one.
The procurement also includes spare parts, maintenance equipment and related services.
The first delivery of the dual-mode trolleybuses is scheduled for no later than 36 weeks from the date of receipt of the advance payment, the execution of the contract is no later than 56 weeks.
According to the announcement, price is not the only award criterion and all criteria are stated only in the procurement documents.
The time limit for receipt of tenders or requests to participate is until March 16, 2022.
The trolleybuses for Ivano-Frankivsk are procured within the framework of the Ukraine Urban Public Transport Project at the expense of the EIB and a grant from the European Union.
According to local media reports, the city planned to purchase at least eight dual-mode electric buses for these funds.
The Ukraine Urban Public Transport Project is a financial agreement between Ukraine and the EIB, ratified in April 2017. It provides for the implementation of 21 subprojects for the development of urban passenger transport in 11 cities.

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MOLDOVA CALLS TENDERS TO BUY GAS FROM UKRAINE AND ROMANIA

Moldovan state company Energocom has announced a series of tenders to buy natural gas with delivery from the border with Ukraine (Oleksiyivka) or Romania (Ungheni).
The gas purchases are being made for Moldova due to the “exceptional situation,” the company said on its website.
“Following the National Commission for Exceptional Situations of October 13, 2021, the state of alert was announced regarding the natural gas sector. Energocom, a company 100% owned by the State of Moldova, is preparing to purchase natural gas to be supplied at Moldovan border from Ukraine and/or Romania,” the company said.
Tenders will be held for various periods, to begin with short-term gas purchases of 5 million cubic meters and potentially more for the balance of October, Energocom said.
Gas suppliers must have “a proven record of reliable and professional activity (gas supply license in at least one EU/Energy Community country and >0.3 bcm of gas trading in 2020), the company said.
The first tender to purchase 1 mcm of gas was announced on October 23. Prepayment will be issued immediately, but SWIFT transfer to foreign entities can only be carried out on Monday, October 25, Energocom said.
“Considering the emergency situation, the Public Property Agency of Moldova, the sole shareholder of Energocom, will issue a comfort letter to the selected suppliers to confirm that payments will be duly made,” the company said.
The Energy Community Secretariat held a meeting with a delegation from Moldova to discuss problems with gas supplies to the country.

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