NORTH-EASTERN UKRAINE POST PRIVATISATION FUND

Location:

Ukraine

Project number:

3541

Business sector:

Equity funds

Notice type:

Private

Environmental category:

FI

Target board date:

02 Dec 1997

Status:

Cancelled

PSD disclosed:

20 Oct 1997

 

Project Description

The Eastern Ukraine Post Privatisation Fund is an ECU 24 million private equity fund with a 10-year life. The Fund will invest primarily in medium-sized private and privatised enterprises in the eastern part of Ukraine (regions of Dnipropetrovsk, Zaporizhia, Donetsk and Luhansk). The Fund will be supported with technical cooperation funding.

The principal objective is to provide new equity capital, corporate governance and technical assistance to private and privatised enterprises in the eastern part of Ukraine.

Transition Impact

The direct equity investments and the technical assistance funding will enable the establishment, modernisation or expansion of investee companies.

The Client

The Fund will be managed by a Dutch venture capital company in partnership with individuals of Ukrainian origin. It will invest primarily in medium-sized private and privatised enterprises in the eastern part of Ukraine (regions of Dnipropetrovsk, Zaporizhia, Donetsk and Luhansk). The investee companies will have good growth prospects and the potential for providing high returns commensurate with the high risks involved.

EBRD Finance

The EBRD will provide all of the Fund's equity capital of ECU 24 million. The Fund Manager and FMO, the Dutch Development Finance Company, will co-invest alongside the Fund with a total amount of about ECU 2.25 million.

Project Cost

The total project cost (including the Fund's capital, its operating expenses and other advisory services covered by technical cooperation funding) amounts to about ECU 40 million.

Environmental Impact

The Fund will follow the EBRD's Environmental Procedures for Investment Funds. In implementing these procedures, the Fund will assess potential environmental issues associated with its investments which are required to comply, at a minimum, with local/national health, safety, environmental and public consultation requirements.

Technical Cooperation

Technical cooperation funding will be provided to: (i) meet the operating costs of the Fund; (ii) pay for accounting, legal, environmental and other due diligence in respect of potential investments; and (iii) provide consulting support to enterprises for project preparation and implementation.

Company Contact

 

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

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Text of the PIP

Project Complaint Mechanism (PCM)

The Project Complaint Mechanism (PCM) is the EBRD's accountability mechanism. It provides an opportunity for an independent review of complaints from individuals and organisations concerning EBRD-financed projects which are alleged to have caused, or are likely to cause, environmental and/or social harm.

Please visit the Project Complaint Mechanism page to find information about how to submit a complaint. The PCM Officer (pcm@ebrd.com) is available to answer any questions you may have regarding the submission of a complaint and criteria for registration and eligibility, in accordance with the PCM Rules of Procedure.