Business news from Ukraine

ASNOVA HOLDING SEES PROFIT RISE BY 4.5%

PJSC ASNOVA Holding (Kyiv) saw net profit rise by 4.5% in 2017 as compared to 2016, to UAH 92.3 million.
According to a company report in the information disclosure system of the National Securities and Stock Market Commission on holding the next general meeting of shareholders on March 27, the assets of the enterprise for the year increased by 6.6%, to UAH 1.249 billion.
Undistributed profit in 2017 amounted to UAH 977 million, which almost corresponds to the indicator of 2016. At the same time, current liabilities rose by 61% against the previous year, to UAH 71.9 million, total debtor indebtedness amounted to UAH 120 million, twice as much as in the previous year.
According to the company, ASNOVA Holding increased its long-term financial investments by 14%, to UAH 1.1 billion, net worth by 4.3%, to UAH 1.17 billion.
According to the preliminary report, the number of employees of the holding for the year decreased to 37 people from 46 people in 2016.
PJSC ASNOVA Holding was established in 1992. It is engaged in distribution, logistics, retail sales, IT services and Internet commerce.

INDUSTRIAL PRODUCTION IN UKRAINE 3.6% UP IN JAN 2018

Industrial production in Ukraine in January 2018 increased by 3.6% compared to January 2017, the State Statistics Service has said.
The authority said that with the adjustment to the effect of calendar days, industrial production in January 2018 from January 2017 increased by 2.9%.
The service noted industrial production in January this year compared to the previous month fell by 13.9%, however, taking into account the seasonal factor, the growth was 0.2%.
The rise in processing industry in January 2018 from January 2017 was 9.7%, while in mining and quarrying the decrease of 0.2% was recorded. The fall in the supply of electricity, gas, steam and air conditioning was 8.1%, which is most likely due to a higher temperature this year.

UKRAINE STARTS EXPORTING 357 NEW GOODS TO EUROPEAN UNION IN 2017

The Ukrainian export of goods to the European Union increased by 357 new commodity items over the past year, and the number of exporting companies to the EU increased from 13,402 in 2016 to 14,136 at the end of 2017, Deputy Minister of Economic Development and Trade, Ukraine’s Trade Representative Natalia Mykolska has said.
“Some 357 new commodity items appeared in exports of goods to the EU in 2017. And this is an additional $90 million. Many of the products that earlier entered the EU market showed growth,” she said.
The highest growth rates were demonstrated by artificial fabrics, apricots and cherry, milk and condensed cream, fructose, among machine building products – projectors and spare parts for them, electric kettles.
“At the same time, the EU is the main market for 460 commodity positions, i.e. we export 100% of these goods there,” the expert said.

BLACK SEA TRADE AND DEVELOPMENT BANK ISSUES EUR15 MLN FOR BUILDING RADISSON BLU HOTEL IN ODESA, UKRAINE

Black Sea Trade and Development Bank on January 4, 2018 issued EUR15.4 million to Mega Comfort Development (Odesa) for the construction of a four-star Radisson Blu hotel in Odesa with a total value of EUR43.9 million.
“The project will contribute to the development of tourist infrastructure in one of the main Ukrainian cities. This will facilitate both domestic and international tourism, including by visitors from the Black Sea region, namely Russia, Greece, Turkey, and Moldova,” the official website of the bank reads.
It is expected that within the project implementation a high-quality business conference center, as well as more than 700 workplaces will be created.
As reported, with reference to the director general of the project developer Double W, Volodymyr Horaschenko, the construction of the Radisson Blu hotel in Odesa of according to the international standards of “green” LEED certification should start in the first quarter of 2018. The hotel will be built on the site of the Seamen’s Palace in Prymorsky Boulevard in the eponymous district of Odesa, the operator will be the international network Rezidor Hotel Group.
According to Horaschenko, in connection with the environmental friendliness of the future hotel, the company received financing in the amount of more than EUR40 million from international funds, as well as a grant to compensate for 75% of the cost of design works, in particular from the Nordic Environment Finance Corporation (NEFCO) and the Danish Investment Fund IFU.
According to the website Radisson Blu, in February 2018 the network in Ukraine had three hotels, two of which in Kyiv and one in Bukovel (Ivano-Frankivsk region).

UKRAINE INCREASES FISH CATCH BY 6.6% IN 2017

Total fish catch by Ukrainian enterprises in 2017 reached 94,200 tonnes, which is 6.6% more than in 2016, Head of the State Agency of Fisheries of Ukraine Yaroslav Belov has said.
“In 2017, the total catch of fish and other aquatic biological resources by the enterprises of the industry amounted to 94,200 tonnes, which is 6.6% more than in 2016,” he said during a public report on the agency’s work on Friday, February 23.
According to him, in 2017, more than 400 companies received quotas for the special use of aquatic biological resources, which produced 62,300 tonnes of fish and other aquatic biological resources (8.2% more than in 2016).
In the Sea of Azov, the catch increased by 13.7%, to 37,500 tonnes, in the Black Sea by 6.1%, to 5,200 tonnes, and in inland waters by 13.1%, to 19,500 tonnes.
Oceanic catch of Antarctic krill in 2017 increased 8.1%, to 7,900 tonnes.
The State Agency of Fisheries said that in 2017, more than 4,000 companies carried out fishery activities.
“According to tentative data, 16,000 tonnes of commercial fish were grown last year, which corresponds to the level of 2016,” Belov said.
He said that 612 special commercial fish farms operated in Ukraine in 2017, of which 296 were involved in fish caught. In total, these farms produced 7,800 tonnes of fish last year, which is 7.4% more than in 2016.
In general, last year, the stocking of Ukrainian water reservoirs with fish increased by 3.8%, to 44.6 million juvenile fish.

POLISH CONSTRUCTION COMPANY MIRBUD ENTERS UKRAINIAN MARKET

Poland’s Mirbud S.A., a construction company, has officially registered Mirbud LLC with the head office in Kyiv and plans to step up engineering and road construction in Ukraine. “The big challenge for the group will be the launch of activities in Ukraine. I hope that the work of the team responsible for business development in the eastern markets in the coming years will bring an effect in the form of won tenders,” Mirbud S.A. President and majority shareholder Jerzy Mirgos said on the official website of the company.
According to the ProZorro e-procurement system, Mirbud S.A. in 2017 took part in three tenders for a total amount of EUR 24.25 million for the projects of construction and reconstruction of the Ukrainian border infrastructure. “We see here a great potential for our activities in the field of engineering and road construction and construction of buildings in connection with the plans of the Ukrainian government to increase financing for reconstruction and construction of roads and receiving funds from international financial institutions for investment in the development of transport infrastructure,” Mirgos said.
According to the data of the unified public register, Mirbud LLC was registered on January 24, 2018. Its core business is construction of buildings.
The head office of the company is located in Kyiv’s IQ Business Center at 13-15, Bolsunovska Street. The only participant of the LLC is JSC Mirbud (Skierniewice, Poland).
The size of the charter capital is UAH 37,000.
Mirbud S.A. works in the Polish market, mainly as a general contractor in all construction segments.