To ensure transparent privatization, the State Property Fund of Ukraine has launched virtual data rooms

The State Property Fund of Ukraine, with the support of the United States Agency for International Development (USAID), has launched virtual data rooms with complete information based on the iDeals platform. Virtual data roomsare in use worldwide for secure documents management and disclosure of complete information in corporate agreements conclusion, audits conduction, etc. The system of virtual data rooms will allow the Fund to provide potential investors with access to the widest list of documents on the companies put up for sale. This, in turn, will allow buyers to comprehensively assess the investment prospects of companies and ensure healthy competition at auctions. Disclosure is intended to eliminate corruption in terms of obtaining reliable and detailed information about the company, and increase the privatization process transparency.

What can interested buyers find in virtual data rooms? The virtual rooms are usually published constituent, permit, organizational, operational, personnel, claims and title documents, financial statements and concluded contracts. Therefore, a potential investor only need to sign a one-time non-disclosure agreement to access data rooms to all companies. The first company for which documents appeared in the newly created repository was the Hotel Dnipro in Kyiv, the auction of which is scheduled for July 15, 2020.

At the State Property Fund of Ukraine request, the United States Agency for International Development (USAID), through the USAID Competitive Economy of Ukraine Program, attracted Ideals to develop virtual data rooms (VDRs). VDRs are ensures a creation of secure online repository to store and provide the most complete package of documentation on objects ready for privatization. By making available the most complete packages of documents, VDRs will be helped potential investors came to more informed decisions on objects of privatization.

“Privatization is attraction of investment and creation new working places. Privatization will remain a priority at the state level, and the President of Ukraine confirmed his political willpower to attract investment through privatization during the meeting of the National Reform Council.It is very important to conduct privatization honestly and transparently, so I want to express appreciation to the USAID Mission, the people, and the United States Government for their support in creating new transparent privatization instruments. Virtual data rooms have been helped us to hold more than a thousand auctions since the beginning of the year, and to Ukrainian businessmen who have won in fair auctions, to invest in Ukraine's economy” said Dmytro Sennychenko.

Documents on individual property will remain available in the usual data rooms, launched by the State Property Fund of Ukraine at the beginning of the year, access to which provides only by the e-mail registration. The creation of virtual data rooms was possible by the support of the United States Agency for International Development (USAID) through the USAID Competitive Economy of Ukraine Program.