Investments

Friday, November 26

LeoMed has purchased the Ukrainian telemedicine service Doctor Online. Doctor Online is merging with the LeoDoc service, reported ain.ua. Now any clinic or private practice doctor can be included in the service and consult their patients. In 2022, they plan to introduce a new standard product with new software solutions and enter the US, EU, and the Persian Gulf markets, where telemedicine is developing very actively.

Cashflow management startup Settle which is based in Lviv raises $60M. The company raised $60M in a Series B funding round led by Ribbit Capital, reported ain.ua. The startup has a team in Ukraine that participates in Settle’s establishment and is fully responsible for its product design. Alek Koenig founded cash flow management startup Settle in 2019 to provide alternative lending to businesses. It combines payments, financing, and accounting integrations into one tool so that brands can scale faster. Italic, Huron, Brightland, Branch, and Better Booch are among Settle’s clients.

Odessa winery was privatized for UAH 235 mln. The winner of the auction Odesavinprom plant paid UAH 235 mln ($8.7 mln), announced the State Property Fund. Under the terms of privatization, the new owner must ensure the preservation of the core business of grape wine production for three years, during which time he must also fulfill social guarantees for employees. The privatization auction took place on September 14, with a starting price of UAH 65.3 mln ($2.4 mln).

Kovalska invested UAH 200 mln in lime production in the Lviv region. Kovalska Industrial-Construction Group invested UAH 200 mln ($7.4 mln) in lime burning. The company said that lime kilns were built in Rozvadov, Lviv region. They will work 24/7, which will create an additional 50 jobs. The new lime kilns will be part of the production complex, in which investments have already amounted to € 45 mln.

Thursday, November 25

The Guarantee Fund has received UAH 630 bln ($23.6 bln) in private investments. The total amount of deposits of individuals at the beginning of November 2021 includes deposits in national currency, UAH 385.84 bln ($14.4 bln), and deposits in foreign currency valued at UAH 243.52 bln ($9.1 bln). 98.0% of depositors in the participating banks of the Fund do not exceed UAH 200,000 and are fully covered by the Fund’s guarantees. The total amount of these deposits is UAH 241.92 bln (Fund press service).

The Mayor of Lviv will meet with EBRD Vice Presidents Alan Pius and Mark Bowman to discuss building a plant to manufacture electric vehicles. “We are strengthening our relationship with the European Bank for Reconstruction and Development”, said the Mayor of Lviv, Andriy Sadovyi. “We already have nine successful projects that have made it possible to attract €140 mln of investments for Lviv. We decided not to wait for the state to create the necessary conditions but to act ahead. Lviv will be the first city in Ukraine to invite producers to cooperate”, concluded Sadovyi.

The Japanese automotive manufacturer, Nissan, has opened its 32nd Center in Ukraine. Nissan’s dealer network will now include Autocentre Kherson, as reported in open4business. According to the Ukrautoprom Association, 355 Nissan cars were sold in Ukraine in October 2021 (11% less than in October 2020), while the market for new passenger cars fell by 5.6% that month, to 7,965 units.

The “Minfin” and Dragon Capital launched a mobile investment application Multi Invest. Using the application will make it possible to invest in shares of foreign companies, exchange-traded funds (ETF), cryptocurrency, and domestic government bonds. “The idea of Multi Invest is to make investments available to everyone. Thanks to the intuitive interface and prompts, users can start investing with Multi Invest”, said Sergey Vinderskikh, the Co-founder and Head of Fintech Product at Treeum. The Multi Invest app plans to combine all types of investments that can be managed on the phone. The launch

Ukrainian startup MaxAh develops the most powerful graphene-based battery in the world. The engineering and technology startup MaxAh works with the technology of lithium power supply production using the Ukrainian graphene has been recognized as a promising project by the Ukrainian State Chemical Technology University. The company goal is to create a product for big industries: transport, energy, electronics, space, medicine, defense, etc. The startup wants to solve three problems: lack of a final product, slow power supply development and production processes, and unbelievably high cost of production. According to representatives of

Wednesday, November 24

Ukraine is implementing 8 EBRD projects worth € 1.68 bln, announced the finance minister, Serhiy Marchenko, at a meeting with the newly appointed EBRD Vice President for Policy and Partnership, Mark Bowman. During the meeting, the issues of the current state of implementation of projects in the fields of infrastructure, energy, banking, industry, and natural resources were raised, the Ministry of Finance added. The parties also discussed Ukraine’s cooperation with international financial organizations, including the IMF and the World Bank. The EBRD remains the largest institutional lender in Ukraine, with

The Ministry of Finance has sold UAH 4.4 bln of bonds. On November 23, the Ministry of Finance raised UAH 4.4 bln ($166 mln) in equivalent at the auction for the placement of domestic government bonds (IGLBs), reported minfin.ua The weighted average yield of 3-month IGLBs was 10.00%, 6-month – 11.55%, 1-year – 11.64%, 1.5-year – 11.57%, 2-year – 12.47%, 3-year-olds – 12.85%.

Tuesday, November 23

Ukrainian grocery delivery business, Zakaz.ua has attracted $10 mln in investments over the ten-year period of its operations. Currently, 100,000 customers use the company’s application. The company’s Commercial Director, Evgeniy Netreba said, “We want to build not just an e-commerce company, but also understand what the client wants and anticipate their desires”.

Monday, November 22

European Investment Bank (EIB) will assist in financing the modernization of hospitals in Ukraine. The Ministry of Community and Territorial Development of Ukraine signed a grant agreement with the EIB for the thermal modernization of hospitals in Ukraine, announced Prime Minister, Denys Smyhal. The grant from EIB will provide €300 mln to improve the energy efficiency measures in hospitals, particularly for installing modern energy-efficient equipment, ventilation and lighting systems, and internal heating in healthcare institutions.

Applications for “investment nannies”: 17 from Ukrainian investors, and 10 from international companies. UkraineInvest has received 27 preliminary project applications from investors totaling more than $2 bln, reported epravda.com. Business representatives from Switzerland, Mexico, China, Turkey, Cyprus, Poland, Ireland, and other countries are interested investors. Investments are planned in the following areas: production (11 projects totaling $686 mln); agricultural processing (totaling $303 mln); logistics (5 projects totaling $487 million); and, transport and tourism (totaling $159 mln).

On November 18, the space agencies of Ukraine and Canada signed a joint statement of partnership in Halifax Canada. Both sides laid the first stone of the space launch complex. The collaborative Ukrainian Canadian project to create a space launch complex in Nova Scotia is unique to both countries. The project is implemented by the Canadian company Maritime Launch Services and involves using the Ukrainian rocket carrier “Cyclone 4M”. According to Stephen Mathieu, the President, and CEO of Maritime Launch Services, the space launch market is growing steadily and will increase from $400 bln to $1 tln in the

Friday, November 19

The EU plans to provide Ukraine with up to €7 bln in investments in seven years, reported Interfax. The EU has adopted an economic investment plan for three regions: the Eastern Partnership, the Western Balkans, and the Southern Neighborhood. Ukraine hopes to mobilize up €7 billion for seven-year investments, announced the Deputy Director-General of the European Commission’s Directorate-General Katarina Maternova. She clarified that many of these funds would be directed to the “green” transition, digital transition, infrastructure upgrades, access to finance for small and medium-sized businesses.

As part of its plan to diversify its business, MHP has started to produce beef. The company purchased the beef producer, Lubnymyaso for $1.84 mln. Located in Lubny in the Poltava region, the company produces and sells beef under the Scott Meat brand. “The move into beef production is part of a program to transform MHP into a culinary company with a focus on value-added products”, said MHP’s Financial Director (Interfax).

Grammarly is now valued at $13 bln after a new round of investment. The Ukrainian startup Grammarly is developing an online platform to help communicate effectively in English has attracted a new round of investment of more than $200 mln. As of November 2021, Grammarly employs more than 600 people in three countries. The company’s hubs are in Kyiv, San Francisco, New York and Vancouver.

The Kovel Educational Colony will be auctioned on December 7 with a starting price of UAH 41 mln. The State Property Fund (SPFU) will privatize the Kovel educational colony, which is located in the Volyn region. The asset includes 26 real estate assets, buildings with a total of 19,476 square meters. In addition to two land plots, which are 4.86 hectares. 70% of the proceeds from privatization will go to the construction of new and renovation of existing penal institutions and the remainder to the state budget, announced SPFU.

The development of the processing industry in 10 years might double GDP to $300 bln. As of today, the structure of Ukrainian GDP, the processing industry accounts for only 10.1%, while in Poland this figure is 19%, and in Turkey 20%. On average, the added value of selling one ton of wheat is $50 at best, while deep processing of grain into syrups and gluten guarantees $300 of added value. Ukraine continues to export up to 75% of the grown grain annually, while the neighboring countries export only 4-5%. The creation of a high-tech processing

Thursday, November 18

British neobank Revolut has registered a subsidiary in Ukraine in September 2021. According to the state register of legal entities, the company is called LLC “Revolution Technologies Ukraine”, its beneficiary is Revolut Ltd. In May 2021, Revolut is now actively hiring employees for their Ukrainian operation, mostly for remote work.

The State Property Fund (SPF) will put a diamond processing plant up for auction for the second time. The Vinnytsia Crystal Plant will be auctioned on December 17, announced the Prozorro.Sales website. The starting price is UAH 89.9 mln ($ 3.4 mln).

Nova Poshta to deliver parcels from Kyiv to Lviv by drone. The company delivered 10 parcels weighing 2 kg from Kyiv to Lviv by a drone that flew 500 km with a payload of up to 16 kg. In addition to that, it can climb to a height of 900 meters and spend up to 12 hours in the air without additional recharging. The range of the communication channel for remote control is 200 km.

Carpathian Mineral waters to invest €20 mln to increase production volumes. The company plans to increase production volumes threefold by investing €20 mln in the construction of a new plant in the Lviv region. According to Lviv the administration, the expansion will create 200 new jobs and increase the capacity of the new plant three times compared to the existing facility.

Wednesday, November 17

The Ministry of Finance raised UAH 8.159 bln ($ 311 mln) in the placement of domestic government bonds. Investors were offered seven issues of securities in the national currency. The weighted average yield of 6-month IGLBs was 10.5%, 1-year – 11.55%, 1.5-year – 11.57%, 2-year – 12.47%, 3-year – 12.7%, 5-year-olds – 12.75%, and 6-year-olds – 13.25%. The greatest demand was concentrated on 1-year securities.

This week is European SME Week. It is aimed to promote the development of small and medium businesses and encourage more people to launch their own companies across Europe, including Ukraine. It remains challenging for many entrepreneurs to access financing and advanced green technologies and meet industry standards, especially those outside big cities. The EU, through its #EU4Business (https://eu4business.org.ua/) initiative with the help of the EBRD, through partner banks, supports the development of small and medium-sized businesses in Ukraine by providing loans and grants.

Vuzliv distillery will be privatized with a starting price of UAH 21 mln ($0.8 mln). The State Property Fund (SPFU) has announced an auction for the privatization of the Vuzlivsky complex which includes manufacturing facilities and alcohol storage, located in the Lviv region. The auction is scheduled for December 8, and the successful bidder will have ownership of carbon dioxide and enzyme shops, the main building, an alcohol basement, a depot, a power substation, and other real estate assets with a total area of 12,000 square meters. In addition, the facilities of Vuzlivsky, the enterprise

Tuesday, November 16

Ukraine- EU cooperation plan with € 2.3 bln investment package. At a meeting with EU Neighborhood and Enlargement Commissioner Oliver Vargei, Ukrainian Foreign Minister Dmytro Kuleba discussed the Eastern Partnership’s economic and investment plan. The plan is backed by a € 2.3 bln investment package in the form of grants, guarantees, and mixed instruments, with the possibility of attracting up to € 17 bln of public and private investment.

The world leader in the production of irrigation systems plans to enter the Ukrainian market. The entry of the US company, Valmont Industries, was announced by the Minister of Agrarian Policy and Food, Roman Leshchenko. Valmont Industries has a 75-year history of full-cycle irrigation equipment with a capitalization of more than $5 billion.

Monday, November 15

UAH 1.9 bln to be invested in Ukraine’s oil and gas industry, announced the Prime Minister, Denys Shmygal, on Facebook. According to preliminary estimates, UAH 1.9 bln ($72.2 mln) will be invested in the oil and gas industry under two agreements that were signed for the distribution of products in the Grunivska and Okhtyrska hydrocarbon fields.

Monobank’s new card, the cryptocurrency card, is awaiting approval from the NBU. “The has been waiting for approval from the NBU for three months. The launch of shares in Monobank that was scheduled for 2022 has been postponed”, said the co-founder of Monobank, Oleg Gorokhovsky. He noted that the card in bitcoins is ready and has been waiting for approval.

One of the largest shopping malls in Europe has opened in Kyiv. On November 12, the Respublika Park shopping mall opened with a total area of 300,000 square meters in Teremky. With a net usable space of 135,000 square meters, the mall is considered to be one of the largest European innovative shopping and entertainment centers. The investors were both local and international, with participation of an Austrian investor. According to the Austrian Ambassador to Ukraine, Gernot Pfandler, the investor from Austria invited representatives of 40 Austrian companies to open the center

Architects in Odesa have presented a new concept for the bridge on the Dniester estuary. “The bridge will pass in the narrowest part of the estuary. The construction of one running kilometer of an overpass bridge averages from $20 to $30 mln, reported odessajournal.

Ukrposhta is entering the retail banking market with the purchase of a bank valued at UAH 260 mln. Ukrposhta purchased Alpari Bank for UAH 260 mln ($9.9 mln). The Cabinet of Ministers and the Ministry of Infrastructure, the owner of Ukrposhta, gave a green light for the agreement. Now the National Bank must give its consent to the purchase.

The Electronmash plant was sold at auction for UAH 970 mln, according to Prozorro.sales. The winner of the Auction paid UAH 970 mln ($37 mln) with a starting price of UAH 66.7 mln ($2.5 mln). According to the results of the third round, the participant who offered UAH 970 mln for the property complex was Lorten Group. The owner and head of the company is Oleg Pichenevsky from Nikopol.

Friday, November 12

The port of Kherson is preparing for a concession. The Ministry of Infrastructure plans to complete the process of transferring the property complex of the Kherson Sea trade port to the concessionaire by the end of this year. Now, for the concession to occur, the problematic issues are resolved together with other authorities by adopting bylaws, said Deputy Minister Yuri Vaskov speaking to Interfax.

Dragon Capital plans to complete the construction of a dry warehouse complex. The first stage of M10 Lviv Industrial Park in Lviv will be completed in the third quarter of 2022, reported the company’s press office The total area of the warehouse complex on a 2.7-hectare site will be 14,400 square meters. This will be part of an overall concept to develop six warehouse and industrial premises with a total area of 140,000 square meters, in an industrial park.

Thursday, November 11

The Ministry of Finance sold government bonds valued at ₴11.7 bln. The Ministry of Finance raised the equivalent of $446.6 mln for the budget when it auctioned domestic government bonds (IGLBs). Investors were offered seven issues of securities in national currency and one issue in foreign currency. The weighted average yield in national currency of 3-month IGLBs was 9.5%, 1-year IGLBs – 11.54%, 1.5-year IGLBs – 11.57%, 2-year IGLBs – 12.47%, 3-year IGLBs – 12.70% , 5-year-olds – 12.75%, and 6-year-olds – 13.25%. The greatest demand among hryvnia instruments was concentrated

Ukrainian-based startup Matter Labs raised $ 50 mln. Founded by Ukrainian Oleksiy Hlukhivsky, startup Matter Labs is developing an Ethereum blockchain scaling protocol that reduces traffic in the main chain of Ethereum blocks. This solution allows developers to reap the benefits of fast and cheap transactions without losing the security of the Ethereum ecosystem (Matter Labs website).

Wednesday, November 10

UZ has commenced its most extensive infrastructure modernization program. “By 2028, Ukraine will implement a program to build tens of thousands of freight cars with a total cost of ₴100 bln ($3.8 bln)”, announced President Zelensky. “We are starting the construction and modernization of rolling stock and railways on the largest scale since the years of our country’s independence,” Zelensky concluded.

The level of localization of production of freight cars purchased by UZ will exceed 95%. This will include a total of 45,000 new grain trucks and gondola cars are planned to be purchased with the assistance of the Ministry of Infrastructure, which will launch a state leasing program in 2022. The Minister of Infrastructure, Kubrakov, noted that UZ would also upgrade its rolling stock in the coming years.

Tuesday, November 9

Ukraine has attracted a record amount of international investment since the beginning of 2021, said the Prime Minister, Denys Shmygal, on Facebook. Ukraine has attracted $ 4.8 bln in foreign direct investment (FDI) in three quarters of 2021. In the first half of the year, Ukraine drew $ 2.83 bln indirect investment, of which $ 2.33 billion came from the European Union.

Monday, November 8

The Ukrainian government is looking for international investors for its military production firm, Motor Sich, said Foreign Minister, Dmytro Kuleba. Commenting on the possibility of Chinese investments in Motor Sich, Kuleba said that Ukraine would focus on Western partners in the field of military sensitive technologies. He noted that Ukraine will develop relations with China as part of the Western political world. “We will, of course, trade very actively with China, and attract Chinese investment. As far as the strict security sector is concerned, we will be with our Western allies in this regard,” said

Centrenergo is ready to invest ₴450 mln in four coal faces. Centrenergo is ready to finance the commissioning of four coal longwalls to the value of ₴450 mln ($17.1 mln), said First Deputy Chairman of the State Property Fund, Denis Kudin. “We are ready to lend a hand to the state mines and finance them in advance. In fact, we are ready to make a large advance payment for coal in future periods, so that the state mines could mount their faces”, Kudin said in an interview with Energoreform.

Friday, November 5

The National Commission on Securities and Stock Market has admitted to circulation in Ukraine new securities of blue-chip companies including Nike, PepsiCo, Pfizer, and PayPal. The announcement was made by the National Commission on Securities and Stock Market of Ukraine. Ukrainian investors can take the opportunity to invest in 85 securities of foreign issuers. To see the full list of new securities added click here.

Thursday, November 4

Ministry of Finance to invest ₴124.1 bln ($4.72 bln) in the development of road networks in 2022. The announcement was subject to receiving syndicated finance from the EBRD to: reconstruct the Kyiv Odesa highway (M-05); construction of the northern bypass of Lviv and Ternopil; reconstruction of a section the Poltava – Valky highway in the Kharkiv region(M-03); and the overhaul of the M-01 highway on the section Kyiv – Kipti (Chernihiv region).

EBRD to invest $75 million in a sustainability-linked Eurobond issued by Ukrenergo. In a bid to resolve the payments crisis gripping the country’s renewable energy sector, the proceeds will cover all payment arrears owed to renewable energy producers. The investment will help to restore the credibility of the Ukrainian renewable energy sector and boost the confidence of private investors and financiers, paving the way for much-needed investment to support the country’s green transition.

Wednesday, November 3

Trostyanets distillery privatized for ₴44 mln ($1.67 mln) , announced the State Property Fund (SPFU). The auction had a starting price of ₴44,012,959. The asset included 49 hectares of land with 67 buildings, including industrial stock for production and warehouses, with a total area of 21,102.4 sqm.

Monday, November 1

The National Investment Fund will place shares valued at ₴100 mln ($3.8 mln). The first issue of shares valued at ₴100 mln was registered on October 28, 2021, and the placement of shares is scheduled for the period November 5 to 12, 2021.

Friday, October 29

Ukrainian IT company Depositphotos was sold for $85 mln. The US firm, VistaPrint, announced the purchase of the Ukrainian company that develops photo stock Depositphotos and the online editor Crello. VistaPrint purchased 100% of the company’s stock for $85 mln, including all projects: Depositphotos, Crello, Lightfield, Bird in Flight and WAS. The company’s founder, Dmitry Sergeyev, will be ending his management role and no longer be involved in the enterprise.