Home
/
News
/

Kharkivoblenergo’s Debt Might Grow by USD 21 mln

Kharkivoblenergo’s Debt Might Grow by USD 21 mln

16 November 2008

A weak ago, the High Economic Court of Ukraine obligated Kharkivoblenergo (HAON: HOLD) to give back to State Committee of Reserves 12 ths mt of mazut (market value is USD 12.0 mln without VAT) and pay a fine amounting USD 8.8 mln. According to the committee, it deposited this mazut in 1992-1997 at the company, and Kharkivoblenergo utilized it without the committee’s permission. The company’s management claims they have documents confirming that they did not utilize the mazut and they plan to appeal to the Supreme Court. Alexander Paraschiy: If the company loses the court battle (we estimate this probability is 50%), its debt will increase by about USD 20.8 mln, which is close to its annual EBITDA. Still, it is much lower than the company’s payables (USD 85.8 mln), and thus will not affect Kharkioblenergo’s debt situation much.

Latest News

News

23

02/2022

Separatists may claim entire territories of two Ukrainian regions

Russia has recognized “all fundamental documents” of the self-proclaimed Donetsk and Luhansk People’s Republics (DNR...

News

23

02/2022

U.K. to provide USD 500 mln loan guarantee for Ukraine as IMF mission starts

The British government is going to provide up to USD 500 mln in loan guarantees...

News

23

02/2022

MinFin bond auction receipts jump to UAH 3.5 bln

Ukraine’s Finance Ministry raised UAH 3.3 bln and EUR 7.2 mln (the total equivalent of...