Groysman invites Arab companies to buy Odesa chemical plant

Wednesday, July 27, 2016 - 14:14 (EEST) Section: Latest news

Ukrainian Prime Minister Volodymyr Groysman has invited businessmen from Arab countries to participate in a fresh auction where Ukraine will put the Odesa Port-Side Chemical Plant up for sale, according to the government`s press service.
”It is important to us. We`d like to have public, open privatization in Ukraine,” Groysman stated during a meeting in Kyiv with diplomats from Arab countries, an announcement on the government`s website read.
The diplomats, in turn, confirmed that the businessmen from their countries were interested in investing in Ukraine and highly evaluated the Ukrainian government`s efforts to conduct reform and initiate the required changes in various fields.
The aim of the meeting was to discuss pressing issues of bilateral cooperation and to assure projects for interaction between Ukraine and the Arab countries.
Groysman said there were many opportunities for cooperation both in Ukraine and the Arab world, for example, in energy, education, agriculture, information technology and infrastructure.
”The Ukrainian government is interested in opening up our country to your countries, to your businesses, investment, and in deepening trade relations,” Groysman remarked.
The Ukrainian government is committed to holding a Ukrainian-Arab economic forum in the country to facilitate trade and encourage Arab companies to acquire state assets in Ukraine.
As UNIAN reported in mid-May 2016, the Ukrainian government approved the terms of privatization of a 99.6% stake in the Odesa Port-Side Chemical Plant, one of Ukraine`s largest chemical producers, with a starting offer of UAH 13.175 billion. The auction was scheduled for July 26, 2016. Norway`s Yara Norge; U.S.-based IBE Trade Corp., Koch Fertilizer, LLC and CF Industries Holdings, Inc; and Poland`s Ciech S.A. were named among the potential buyers for the plant.
On July 18, the tender to sell the plant failed due to a lack of interest, and the State Property Fund, which is in charge of privatization in Ukraine, announced plans to prepare a new tender with a possible decrease in the starting price of the shareholding by 30%.
UNIAN memo. The Odesa Port-Side Plant, which is located in the town of Yuzhny in Odesa region, is Ukraine`s second-largest ammonia and carbamide producer and the third-largest manufacturer of nitrogen fertilizers. The company also handles shipments of chemical products arriving from CIS countries and exports. The company holds a monopoly in the national market of specialized services for acceptance, cooling and transshipment of ammonia.