Ukraine earns another ₴74M from privatization and simplifies the transfer of unprofitable companies to privatization.

From October 23 to 27, the State Property Fund of Ukraine (SPFU) held 12 privatization auctions in which 116 entrepreneurs were listed for sale. On average, almost 10 participants competed for each asset. As a result, the price of these assets increased by 140% (from ₴25.9M of the total starting price to the ₴61.4M total of winning bids). In addition, the new owners must pay 20% VAT on their proposals, bringing another ₴12.3M to the state.

The week’s biggest sale was the privatization of the Khmelnytsky Prosthetic and Orthopedic Enterprise for ₴32M.

In addition, last week the government simplified the procedure for transferring rights to authorized management bodies, primarily the SPFU. In particular, the list of documents provided by unprofitable enterprises, which are transferred to the fund’s management and are subject to liquidation, has been significantly reduced.

“The adopted resolution will speed up the process of transferring state-owned enterprises to the SPFU for privatization, liquidation, or effective management,” the Ministry of Economy explained. There are 103 such companies in Ukraine.