18:41 03.05.2018

Govt committee approves 26 large enterprises for privatization in 2018

2 min read
Govt committee approves 26 large enterprises for privatization in 2018

The government committee has approved a list of large-scale privatization enterprises for 2018, which included 26 companies, including five regional energy companies, Centrenergo, Odesa Port-Side Chemical Plant, Turboatom, Zaporizhia Titanium and Magnesium Combine, United Mining-Chemical Company, Sumykhimprom, Acting Head of the State Property Fund (SPF) Vitaliy Trubarov has said.

He said 18 facilities are already managed by the fund, including Ternopiloblenergo, Zaporizhiaoblenergo, Kharkivoblenergo, Mykolaivoblenergo and Khmelnytskoblenergo, Kherson thermal power plant (TPP), Dniprovska TPP, Kryvy Rih TPP and Severodonetsk TPP, Azovmash, Turboatom, Zaporizhia Titanium and Magnesium Combine, Oriana, Aluminum Foil Plant, President-Hotel, Centrenergo, Odesa Port-Side Chemical Plant, and Sumykhimprom.

Trubarov said three enterprises are managed by the Ministry of Economic Development and Trade, including United Mining-Chemical Company, Electrotyazhmash and Dniprovsky Electric Locomotive Plant. Two more objects are managed by the Ministry of Agrarian Policy and Food: the Agrarian Fund and the State Food and Grain Corporation of Ukraine. Each of the Ministry of Energy and Coal Industry, the Cabinet of Ministers and the Ministry of Health manage one enterprise: Krasnolymanska coal company, Ukragroleasing, and Indar respectively.

As reported, the Verkhovna Rada of Ukraine on January 18, 2018 at second reading and in general supported draft law No. 7066 on state property privatization with technical and legal amendments. President of Ukraine Petro Poroshenko signed the law on privatization on March 2 at the National Reforms Council.

In connection with the entry into force of this law, on March 7 the SPF revised the lists of objects for privatization in 2018, in particular excluding controlling stakes in five regional energy companies, blocking stakes in three regional energy companies, Donbasenergo and 40% in Svit Lasoschiv.

The updated list contains only four positions of the largest objects that are subject to privatization in the current year: 99.567% of the shares in Odesa Port-Side Chemical Plant, 99.995% in Sumykhimprom, 68.009% Zaporizhia Aluminum Plant (ZAlK), and 78.29% in Centrenergo. If the government approves the terms of sale, the SPF plans to put the first three bids up for auction in May, Centrenergo in June, but there is no ZAlK in Trubarov's report.

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