Friday, March 4, 2016

President signs law enabling large-scale privatization in Ukraine

President of Ukraine Petro Poroshenko has signed a law on amendments to the privatization process, which provides for, inter alia, the abolition of the clause regarding an obligatory sale of 5%-10% of shares of state-owned strategic entities on stock exchanges during their privatization, the presidential press service reported.

"President Petro Poroshenko has signed the law "On amendments to some laws of Ukraine on improvement of the privatization process" adopted by the Verkhovna Rada on February 16, 2016," a statement reads.

The law also provides for attracting highly qualified and impartial advisers to the privatization process. It also bans individuals and companies from states recognized as aggressors by parliament from bidding for assets offered for privatization.

In addition, the law allows foreign companies with a state stake in the authorized capital of more than 25% to take part in the privatization process.

The State Property Fund of Ukraine (SPF) will be responsible for the implementation of the law, the report notes.

As UNIAN reported earlier, on February 16, the Ukrainian parliament adopted a draft law to enable a large-scale privatization.

In an interview with UNIAN, SPF Chief Ihor Bilous stated that the adopted law would give start to privatization in Ukraine.

Odesa Portside Chemical Plant (OPP) is the first and major asset on the privatization list. A 99.6% state stake in the OPP is planned to be sold during the auction scheduled for June 30. The Fund also plans to put up for sale state shares in heating and power plants, as well as Centrenergo.

The then Minister of Economic Development and Trade Aivaras Abromavicius also repeatedly called on the Ukrainian parliament to support the bill, which, according to him, would contribute to a transparent privatization.


Related post: Privatisation Ukraine




No comments:

Post a Comment