Category: Ukraine

Asters has acted as legal counsel to the International Finance Corporation (IFC), a member of the World Bank Group, in connection with USD 15 million financing provided to fuel supplier Nadezhda Group, part of efforts to spur economic growth in Ukraine by making energy supplies more widely available.

The investment will help Nadezhda, which distributes transportation fuels and specializes in relatively clean-burning liquefied petroleum gas (LPG), to expand and modernize its network of over 50 stations.

IFC is a leading international investor in Ukraine’s private sector and this project is part of wider efforts to boost growth in the country. Since 2004, IFC has invested over USD 2.2 billion in long-term investment in Ukraine while spearheading an active advisory services program.

The Asters banking and finance team advising on the project consisted of Partner Iryna Pokanay, Counsel Gabriel Aslanian, and Associate Inna Bondarenko.

Ilyashev & Partners has became a legal advisor to Ukroboronprom — an association of multi-product enterprises in various sectors of the defense industry of Ukraine — during the creation and registration of the aircraft manufacturing cluster Ukrainian Aircraft Corporation.

The Ukrainian Aircraft Corporation unites all aircraft manufacturing capacities of the country into a single mechanism led by SE Antonov. The cluster includes PJSC Ukrndiat, SE Novator, the SE Kharkiv Machine-Building Plant “FED”, the SE Kharkiv Aggregate Design Bureau, and PJSC Plant “Mayak”.

The enterprises of the concern will cooperate with outside partners from both the private and public sectors.

Eterna Law has announced that it has entered into a partnership with the Spare insurance company in Ukraine.

According to Eterna, Spare “launches a series of innovative legal products on the insurance market, covering a variety of risks, which may require legal support — both for business and for individuals, in particular the Policy ‘Legal’ series A (admin), B (business), C (crime), D (drive).” Eterna also reports that the “Legal Series A” product, the company’s first, “offers insurance for business-sector in Ukraine of the cost of legal aid for a claim from the state authorities, paying services of the leading law firms and lawyers. Eterna Law becomes one of these companies.”

“We believe in the future of Ukraine as a legal state, so we strive to offer law-abiding businesses a decent and affordable alternative to the traditional unlawful scenarios,” said Spare Director Sergei Levchuk. “In this case, it is important for us to cooperate with the country’s leading law firms, which certainly applies Eterna Law. We highly appreciate our cooperation.” 

Finally, according to Eterna, both it and Spare “hope that this project will help to ensure optimal and transparent process of business cooperation with the bodies of state control and give confidence back.

Vasil Kisil & Partners has acted as a legal advisor to AWAS, one of the world’s largest aircraft lessors, in connection with the execution of a large-scale agreement for sale to KAHALA of a portfolio of 30 aircraft worth over USD 260 million that have been leased to 16 airlines in 14 countries worldwide.

Vasil Kisil & Partners advised AWAS, the financing banks, and other involved parties on all Ukrainian law matters of the transaction, including corporate and contractual structuring matters, aviation regulations, customs, tax, insurance, currency control, etc. Vasil Kisil & Partners lawyers also provided legal support in the applicability of the Cape Town Convention and international aircraft sale and lease practices in Ukraine. The firm’s lawyers also assisted in the negotiation and execution of the novation agreement pertaining to the aircraft operating lease agreement between AWAS and Ukrainian airlines.

Anna Sisetska, Counsel with Vasil Kisil & Partners, who led the project, said: “The key objectives of this project were to ensure the continuing operation of the aircraft in course of the transaction by the Ukrainian aircraft operator and protect international interests of the aircraft owners and creditors in accordance with the Cape Town Convention, whose practical application still raises certain issues with the State Aviation Authority of Ukraine. We are glad to inform you that VKP’s team has effectively accomplished the client’s objectives.”

In addition to Sisetska, the Vasil Kisil & Partners project team included Partner Alexander Borodkin and Associate Roman Riabenko.

Image Source: awas.com

DLA Piper has advised the Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ) GmbH, commissioned by the German government, on the formation of an energy efficiency fund in Ukraine.

The fund is expected to become operational in 2017 and will provide a sustainable long-term mechanism to finance energy efficiency projects in Ukraine. It will be jointly financed by the Ukrainian government and multiple donors, and will lead to mid- and long-term structural reforms to the energy-related social subsidy system and efforts to reduce the consumption of gas in residential buildings.

GIZ is a German body which campaigns for sustainable international development in more than 130 countries. It supports the German government, among other public and private sector clients, to meet objectives in the field of international cooperation.

The DLA Piper team was led by Finance & Projects Partners Andreas Gunst and Oleksandr Kurdydyk, and included Senior Associate Mykhaylo Byelostotskiy and Associate Stepanyda Badovska.

Andreas Gunst said: “Funding energy efficiency projects is fast becoming a central area of climate change finance and decarbonisation policies. Having advised on a variety of projects already, we are very pleased to support the Deutsche Gesellschaft fur Internationale Zusammenarbeit by bringing our existing experience to this project.” 

Oleksandr Kurdydyk added: “This is a complex long-term project which is strategic for Ukraine. It requires an in-depth knowledge of the structuring of funds supported by Ukraine and the EU. We are very pleased to have worked with the German government in its efforts to develop energy efficiency in Ukraine.”

Sayenko Kharenko has announced that it is advising Auchan, one of the world’s largest food retailers, on various Ukrainian law issues, including real estate investment issues, regulatory, land, criminal, and criminal-procedural matters. The firm also reports that it is representing Auchan “before state and local authorities, law enforcement authorities, public councils, working groups, and commissions.”

Auchan Retail Ukraine is the Ukrainian subsidiary of the French food retailer Auchan. Founded in 1961 in France, Groupe Auchan operates in 14 countries, including the EU, China, Taiwan, and Senegal. It is structured into 3 core businesses:  hypermarkets, supermarkets, and e-commerce. Auchan Retail Ukraine was opened in March 2007. The first supermarket was launched in Kiev in 2008. Auchan Retail Ukraine employs more than 3 800 people.  

The Sayenko Kharenko team advising on the project is led by Partner Sergey Pogrebnoy, and it includes Counsel Sergiy Smirnov, Senior Associate Anastasiya Bidakh, and Associate Kuzma Pozychaniuk.

Vasil Kisil & Partners (VKP) has advised NICMAS (formerly known as UkrRosMetal) on issues related to the corporate restructuring of its group (which includes more than 30 Ukrainian and foreign companies).

NICMAS’s core line of business is high-tech machine building and development. According to VKP, “the restructuring aims to enhance the group’s transparency and investment appeal and improve its system of corporate governance.”

The firm reports that it “developed comprehensive recommendations for the corporate restructuring of the NICMAS Group subject to the peculiarities to its current structure, the potential tax implications of the restructuring, and the relevant regulatory requirements, proposed a new structure of governing and controlling bodies for the group’s companies of various levels, and prepared a detailed action plan for restructuring.

The VKP team consisted of Counsel Volodymyr Igonin (who headed the project), Partner Oleg Makarov, and Associate Roman Riabenko, among others.

Avellum has acted as Ukrainian counsel to the Ministry of Finance of Ukraine on the restructuring of a sovereign-guaranteed loan provided by JSC Sberbank of Russia to the Yuzhnoye State Design Office and the Road Agency of Ukraine (with an outstanding principal balance of approximately USD 367 million), and another loan by Citibank and Sberbank to the Road Agency of Ukraine (with an outstanding principal balance of EUR 37.3 million). Sberbank and Citibank were advised by Sayenko Kharenko, with Linklaters advising on matters of English law.

According to Avellum, “pursuant to the restructuring terms, the outstanding principal balance of these sovereign-guaranteed loans and accrued interest thereon were discharged in full, and these loans were terminated, in exchange for the delivery to lenders in respective portions of (i) USD 315.769 million aggregate principal amount of Ukraine’s 7.75% Notes due 2019, representing 75% of the outstanding principal balance of loans (plus accrued interest), and (ii) USD 102.246 million aggregate notional amount of Ukraine’s GDP-linked Securities, representing the remaining 25% of the outstanding principal balance of the loans.” Avellum reports that, “the restructuring of these sovereign-guaranteed loans was conducted in full compliance with the financing targets established in Ukraine’s Extended Fund Facility with the IMF agreed in March 2015.”

The Avellum team was led by Partner Glib Bondar, supported by Lead Associates Artem Shyrkozhukhov and Taras Dmukhovskyy, along with lawyers Taras Stadniichuk, Anastasiya Voronova, Pavlo Shevchenko, and Orest Franchuk.

The Sayenko Kharenko team advising the lenders was led by Partner Nazar Chernyavsky and included Counsel Anton Korobeynikov and Associate Taras Shyb.

Linklaters did not reply to our inquiry on the matter.

Editor’s note: After this article was published Linklaters contacted us to report that its team was led by Partners Mirthe van Kesteren and Dmitry Dobatkin, and consisted of London and Moscow-based lawyers Simon Few, Adrian Newell, Vladimir Gogokhia, and Ryan Ayrton.

Integrites has advised, on a pro bono basis, on the registration of VoxUkraine as a non-governmental organization.

VoxUkraine is an analytical platform, led by a group of leading global economists, lawyers, and members of the Ukrainian policy community who are working on reforms in Ukraine. According to an Integrites statement “VoxUkraine has become a major voice in the Ukrainian policy debate with [its] authors’ work being published in The New York Times, The Washington Post, the Financial Times and all top journals in Ukraine.”

Commenting on the importance of the project for the community, Oleh Zahnitko, Integrites Partner, said: “We were pleased again to contribute into a change that VoxUkraine brings about the public discourse. They champion profound edge-of-science approach to social technologies; objectivizing data on the pace and direction of reforms, VoxUkraine is extremely capable of delivering key messages to relevant stakeholders. NGO form will help VoxUkraine to implement new initiatives through a breadth of access to volunteers, contributors and donors.”

Zahnitko worked together with Senior Associate Vasyl Yurmanovych on the registration.

Vasil Kisil and Partners has successfully represented Intertrans LLC in a dispute with the National Bank of Ukraine and Department of the State Enforcement Service of Ukraine.

The Supreme Court of Ukraine accepted VKP’s argument that a 3d property assessment and 3rd stage of a public auction carried out by the National Bank of Ukraine of Intertrans’ premises as part of foreclosure proceedings were invalid, and that the Bank’s failure to exercise its right and purchase the property after the 2nd stage had the effect of terminating the mortgage.

The VKP team representing Intertrans before the Supreme Court of Ukraine was led by Managing Partner Andriy Stelmashchuk, and included Associates Yuriy Kolos and Maksym Maksymov.

Image Source: IgorGolovniov / Shutterstock.com