Ukraine sells 25% stakes in DNEN, DNON for total UAH 1.7 bln
31 August 2017
At an auction held this morning, the State Property
Fund of Ukraine sold a 25% stake in power GenCo Dniproenergo (DNEN UK) at its
starting price of UAH 728 mln. A 25% stake in power DisCo Dniprooblenergo (DNEN
UK) was sold for UAH 1,005 mln, more than double its starting price of UAH 490
mln due to competition between two bidders.
Alexander Paraschiy: The most
likely winner of each tender is the SCM Group that belongs to Rinat Akhmetov,
whose DTEK Energy (DTEKUA) holds controlling stakes in both companies. When
factoring DTEK’s 25% stakes in Zakhidnergo, Donetskoblenergo and Kyivenergo
purchased earlier this month, SCM has paid for the five stakes UAH 3.05 bln, or
a 24% premium (UAH 584 mln) to their starting price.
The privatization proceeds from the sale of just
these five stakes exceeds the aggregate proceeds from the sale of state assets
in 2013-2016. Moreover, the premiums paid by SCM over the starting price
exceeds the total privatization proceeds for the previous two years. So this
year has proven to be a success for the State Property Fund.
these five stakes exceeds the aggregate proceeds from the sale of state assets
in 2013-2016. Moreover, the premiums paid by SCM over the starting price
exceeds the total privatization proceeds for the previous two years. So this
year has proven to be a success for the State Property Fund.
