The state budget of Ukraine received UAH 3.94 billion from the sale of 100% of shares in United Mining and Chemical Company (UMCC) following a privatisation tender. In addition, UAH 1.029 billion of VAT was paid, bringing the total economic effect of the transaction to UAH 10 billion.
This was reported by the Ministry of Economy of Ukraine.
Details of privatisation
The winner of the competition undertook a number of commitments, including:
- To preserve the core business of the enterprise.
- Invest at least UAH 400 million to upgrade production facilities.
- Repay the company’s overdue accounts payable of UAH 609 million.
UMCC: strategic importance
UMCC is the largest producer of titanium raw materials in Ukraine. The company includes:
- Vilnohirsk Mining and Metallurgical Plant (Dnipropetrovska oblast).
- Irshansk Mining and Processing Plant (Zhytomyr region).
These enterprises play a key role in the titanium industry, providing raw materials for the domestic and foreign markets.
Results of privatisation in 2024
According to Yulia Sviridenko, First Deputy Prime Minister and Minister of Economy of Ukraine, privatisation proceeds since the beginning of the year have totalled UAH 9.26 billion, more than double the target.
“This is an important step for the country’s economy, as the funds will contribute to financial stability, and new investments in the modernisation of enterprises will ensure their long-term competitiveness,” Svyrydenko said.
Next auctions
Ukraine continues its large-scale privatisation programme. On 19 December, an online auction will be held to sell a 100% state-owned stake in the nationalised construction materials producer Aeroc LLC. The starting price of the lot is UAH 965.3 million.
This privatisation activity underscores Ukraine’s commitment to attracting private investment that will contribute to economic growth even in times of war.
