Auction For Small Stakes In Ukrgazbank & Megabank Hits Snag

The Kyiv Economic suspended an auction of a 4.91% stake in Ukrgazbank (UGZB) and a 6% stake in Megabank (MEGA: BUY) due to a complaint filed by one of the potential bidders. Naftogaz currently owns the stakes and put them forward as collateral for its unpaid taxes. Allowing the state tax commission to auction the stakes to pay off Naftogaz’s debt is part of the company’s plan to sell off non-core assets. Naftogaz currently has outstanding debts of around USD 0.5 bln.