KDD sells Sky Towers project

KDD Group (KDDG LN) announced yesterday it agreed to sell its subsidiary Taccadero Trading Limited to Cimbrorum Holding LLC for a total consideration of USD 202 mln. KDD will receive a cash consideration of USD 12 mln, with the rest of the sum being the liabilities of Taccadero (including USD 168 mln in debt to state-owned Ukreximbank and USD 22 mln in debt to Cimbrorum). Taccadero has two projects in its portfolio – the Sky Towers mixed-use complex in central Kyiv and Zazimie residential project outside Kyiv. The deal is subject to approval by shareholders. The company’s board said it believes that if the deal is not successful, the company will face a high risk of becoming insolvent.