Financially strapped OJSC Kharkivmetrobud (KMB) will go on the auction block in March 2010 as part of court-ordered bankruptcy proceedings. Ukraine’s State Property Fund has announced plans to sell 50% plus one share at a starting price of UAH 3 million. Arca Capital, which owns a 38% stake in KMB, has not indicated whether or not it has interest in the acquisition.
The bankruptcy ruling mandates the buyer pay off KMB’s UAH 24 million of debt by November 2010.
OJSC Kharkivmetrobud
Kharkivmetrobud is the company which operates the metro transportation system in the Ukrainian city of Kharkiv. The system was opened in August 1975 and consists of three rail and three bus systems servicing the city and its outlying areas. Long-range plans for KMB include adding 50 km of new lines and two stations, along with technology updates including a smart card payment system.
Arca Capital (www.arcacapital.com)
Arca Capital was established in 2003 and focuses on private equity and venture capital in the areas of energy, engineering, food processing, information technology, media and telecommunications, real estate, and others.
Arca Capital has a presence in Slovakia, the Czech Republic, Ukraine, and Great Britain. It has recently been actively expanding its Ukraine operations, noting the favourable economy and opportunities in that country.
24/02/2010
Central & Eastern Europe, Czech Republic, Rumors & Speculation, Slovakia, Transportation & Logistics, Ukraine