Smart Holding, a large Ukrainian investment and industrial group and international investor, announced a change of owner, which until recently was former MP Vadym Novinsky, as a result of the completion of another round of the current restructuring.
“As part of the restructuring, Smart Holding founder Vadim Novinsky decided to transfer the assets to a trust. The relevant Smart Trust and Step Trust agreements were concluded in November 2022 and registered with the Cyprus Securities and Exchange Commission,” the group said on its website on Monday.
According to it, the trustees were highly qualified fiduciary administrators appointed in accordance with the licensing conditions of Cyprus law.
“Accordingly, the fiduciaries (trusts) fully own, control and manage the Group’s assets… According to the foregoing, as of the current date, Vadim Novinsky has no beneficial interest in the Group and exercises no control over the Group’s activities or processes,” the information notes.
According to it, Novinskiy, who has not participated in the management of Smart Holding since 2013, decided to concentrate his activity on private interests.
As reported, the President of Ukraine Vladimir Zelensky decree of December 1, 2022 introduced the decision of the National Security and Defense Council “On certain aspects of the activities of religious organizations in Ukraine and the application of personal special economic and other restrictive measures (sanctions)”, which sanctions were also applied to Novinsky.
The sanctions package includes 12 types of imposed restrictions, in particular, full blocking of assets, a ban on trade operations, deprivation of all state awards and insignia, a ban on taking capital out of Ukraine, etc.
In a statement, Smart Holding stresses that it continues to work as usual, it is led by a professional management team, conducting business in conditions of economic and civil crisis caused by the war with Russia.
The information indicates that representatives of the trust, as the beneficial owner, together with Smart Holding management are finalizing a new corporate governance structure and management structure for Smart Holding in accordance with best international practices, and are in the process of selecting new board members.
“Smart Holding has a mission to support the Ukrainian economy to withstand the devastation of war. The group will be actively involved in the post-war reconstruction of the country. We also have ambitious investment goals as part of our international development strategy. We believe that with the accumulated talent and experience in the management team, the company will renew its assets and become stronger”, – Smart Holding CEO Yulia Kiryanova was quoted in the report.
Smart Holding is one of the largest investment groups in Ukraine and one of its main assets is a 23.76% stake in the mining and metallurgical holding Metinvest. Group companies also invest in other assets of mining, metallurgy, oil and gas, agriculture, shipbuilding, real estate and energy sectors. The holding’s strategy is aimed at effective management of a diversified portfolio of investments in order to increase its value in the long term, according to its website.
