Electronmash privatization auction officially held: the winning company signed the bidding protocol

The representative of “Lorten Group” LLC signed the protocol on the results of the auction for the privatization of SOE “Electronmash”, which took place on November 12, 2021 with a result of UAH 970 million.

Thus, the winning company has fulfilled its obligations to recognize the results of open bidding.

According to Dmytro Sennychenko, this result indicates that the State Property Fund has won the trust of investors and proved that privatization is fair and transparent.

“During two years, the team of the State Property Fund held more than 3,000 transparent auctions in the amount of more than UAH 5.5 billion, and if in 2019 prices increased by 20%, today the average price increase is 107%. But the most important result is a new life for the destroyed state assets,” said Dmytro Sennychenko, Chairman of the State Property Fund.

He also noted that the principle of “everyone knows everything” is critical in the privatization process – according to which every potential investor has full information about privatization assets. To do this, the State Property Fund has created a special website privatization.gov.ua with virtual data rooms, where all information about assets is published, as well as marketing objects.

“Along with rising prices, a very important indicator is the number of auction participants – since the arrival of our team, the average number of participants has grown from 2.2 in 2019 to 4.8 today. There are also cases when both 22 participants and 28 are registered,” Dmytro Sennychenko said.

We remind that on November 12, an online auction was held for the privatization of the SOE “Electronmash”. The auction was held through the Prozorro.Sales system, and everyone could watch the transparent course of events online thanks to a live broadcast organized by the State Property Fund.

The ownership of the asset was fought for 22 participants, each of them could raise rates during the bidding for three rounds. During the online auction, the price of the Electronmash plant increased 14.5 times from the starting price, which was set at the book value of UAH 66.7 million, to UAH 970 million.

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