This article discusses two major developments in Ukraine’s business and energy sectors.
**Ukrzaliznytsia Receives Grant for Power Plant Upgrade**
The Ukrainian Railways company, Ukrzaliznytsia, has announced plans to upgrade its infrastructure with the help of a significant grant. The company aims to purchase and install complete gas-piston power plants at its locations, which will be able to generate about 255 MW. This project is expected to cost around 215 million euros, excluding construction costs, and will have a payback period of about five years.
A grant of about 12 million euros from the UK Government through the Energy Community has already been confirmed. In total, the company plans to accumulate funds from donors for the implementation of this project. The payback period is expected to be around five years.
**Privatisation: AEROC Sold for 43.1 Million Euros**
In another major development, the State Property Fund of Ukraine (SPFU) has sold the largest producer of aerated concrete products in Ukraine, AEROC, for 43.1 million euros. The company was previously owned by sanctioned Russian oligarch Andrey Molchanov.
The winning bid came from Trident Geoinvest Ukraine LLC, owned by businessman Gennadii Butkevych. The sale price more than doubled during the auction, with the starting price being 21.9 million euros. The new owner is expected to maintain the company’s core business and repay debt obligations totaling 2.5 million euros within six months.
This marks Ukraine’s third online auction for a large-scale privatization asset in the Prozorro.Sale system.