Interagency Competition Commission approved the list of advisers on the preparation of the following objects for large-scale privatization
On August 6, 2021, the Interagency Competition Commission, which included representatives of the State Property Fund, the Ministry of Economy and the Ministry of Finance, approved a list of advisers for the preparation of large-scale privatization objects for auctions. The choice of advisers took place according to a new two-step procedure.
Thus, a number of companies were identified and included in the list of qualified participants in the auction process and can become advisors for the preparation of large-scale privatization objects:
- Rothschild & Co Polska sp. z.o.o.
- Lazard Freres SAS
- LLC “Ernst & Young”
- LLC “Pricewaterhousecoopers”
- LLC “CMS Cameron McKenna LLC”
- LLC “BDO Corporate Finance“
- LLC “Deloitte & Touche”
- LLC “KPMG-Ukraine”
- LLC “Kinstellar Ukraine”
- LLC “Concord Consulting”
According to Dmytro Sennychenko, Chairman of the State Property Fund of Ukraine, the Fund has done high-quality work on the selection of reputational privatization advisers, which makes it possible to carry out further effective preparation of large-scale privatization objects for transparent auctions.
“The State Property Fund ensured transparency in the process of selection of privatization advisers and the market demonstrated confidence - companies with a world reputation applied to participate in the competition. This will allow the Fund to continue the implementation of the state policy aimed at attracting sustainable investments through privatization”, - Dmytro Sennychenko, Chairman of the State Property Fund, stated.
In accordance with the Law on Privatization of State and Communal Property, advisors - investment banks, audit companies and consultants with impeccable reputation and compliance with the high criteria specified in the selection procedure are involved in the preparation of large-scale privatization objects.
The new procedure developed by the State Property Fund and approved by the Resolution of the Cabinet of Ministers of Ukraine No. 134 of February 24, 2021, provides for a two-stage procedure for the selection of privatization advisers.
At the first stage of selection, potential advisers are tested for compliance with qualification criteria, including receiving income from the provision of services for the previous full calendar year of at least UAH 100 million. In addition, over the past three years, the participant of the selection must confirm participation in at least three projects of restructuring of financial obligations, concluding sale contracts of assets worth more than UAH 250 million.
“Compliance of applicants with the established criteria ensures that the work on the preparation of objects for large-scale privatization will be carried out qualitatively and professionally. There is also a second option - the participant can be in the TOP-50 of financial consultants in Europe in terms of the number or volume of transactions on mergers & acquisitions according to Refinitiv rating”, - Dmytro Sennychenko explained.
We must remindthat the first auction of large-scale privatization - JSC “United Mining and Chemical Company” - will take place on August 31, 2021. The company is fully ready for privatization, and applications from potential auction participants have already begun.
The work of advisers at two other large-scale privatization objects - the “First Kyiv Machine-Building Plant” and the President Hotel, the privatization of which is planned for the 4th quarter of this year, is also being completed. At the same time, the preparation of objects, the privatization of which is planned for 2022, continues.
The State Property Fund forms a list of qualified participants of the selection for the preparation of large-scale privatization objects for transparent auctions.
You can get acquainted with the large privatization process by clicking on the link: