SPF Wants Right to Appoint Ukrtelecom's Management

The Head of the State Property Fund (SPF), Valentina Semeniuk, has initiated changes to Ukrtelecom’s (UTEL: HOLD) charter, according to which the right to appoint top management of the company will be delegated from the supervisory board to shareholder meetings. Alexander Paraschiy: This statement by the SPF head signals a conflict between Ukrtelecom’s current management and SPF officials: the SPF wants to dismiss the management. Moreover, this supports our belief that the court’s decision to ban the AGM (where the company’s charter could have been changed) was initiated by Ukrtelecom’s top management. The management has a good chance to survive in the current political situation, as the SPF head’s position on the eve of new elections looks rather weak.