The Cabinet of Ministers has approved the terms and price for the privatization of the State Joint Stock Company "Construction Company "Ukrbud" and the Public Joint Stock Company "Sumykhimprom". The government plans to raise up to UAH 1.5 billion from both assets. This was announced by the government's representative in parliament, Taras Melnychuk, on Telegram, as reported by UNN.
Details
As reported by Melnychuk, the Cabinet of Ministers approved the terms for the sale of a block of shares in the State Joint Stock Company "Construction Company "Ukrbud" totaling 193,136 shares, which constitutes 100% of the company's authorized capital.
The starting price for the sale of the block of shares in the State Joint Stock Company "Construction Company "Ukrbud" at an electronic auction with conditions has been approved, amounting to UAH 262 million 646 thousand.
The government also approved the terms for the sale of a block of shares in PJSC "Sumykhimprom" totaling 1 billion 738 million 665 thousand 246 shares, which constitutes 99.9952% of the company's authorized capital.
The starting price for the sale of the block of shares in the Public Joint Stock Company "Sumykhimprom" at an electronic auction with conditions has been approved, amounting to UAH 1 billion 158 million 50 thousand 202.
Addendum
As reported by the Ministry of Economy, according to the approved terms, the new owners of the share packages of "Ukrbud" and "Sumykhimprom" must:
- maintain the enterprises' core business;
- within 6 months, pay off wage debts and debts to the budget;
- eliminate "Sumykhimprom's" debt to the Pension Fund of Ukraine;
- pay off overdue accounts payable;
- guarantee the observance of employees' labor rights and prevent their dismissal during the first six months;
- direct dividends to the state budget based on the results of operations in 2024 and until the sale in 2025.
For reference
"Construction Company "Ukrbud" is engaged in the design of industrial and civil facilities, performs construction and installation works, and provides training and retraining of workers for the needs of the construction industry. The company includes 10 subsidiaries, including design institutes and training and course combines.
"Sumykhimprom" is a chemical industry enterprise in Ukraine that has been operating since 1953. Its main products are mineral fertilizers, titanium dioxide, and inorganic chemistry. The company's products provide fertilizers to the agricultural sector and are also used in many industries.
In 2023, the Cabinet of Ministers transferred "Ukrbud" under the management of the State Property Fund. In December 2024, the auction commission of the State Property Fund set the starting price for "Ukrbud" at UAH 262.6 million.
At one time, "Ukrbud" was headed by Maksym Mykytas, who in 2019 was notified by NABU and SAP of suspicion of organizing the embezzlement of over UAH 81 million from the National Guard of Ukraine.
In 2022, law enforcement officers detained Mykytas on suspicion of offering an unlawful benefit of a particularly large amount, namely 22 million euros. Mykytas wanted to bribe the mayor of Dnipro, Borys Filatov, and offered 22 million euros for the opportunity to build a subway.
In July 2023, Mykytas was released from the pre-trial detention center after UAH 20 million bail was posted for him.