Mergers & Acquisitions

Mergers & Acquisitions

Successful accomplishment of mergers and acquisitions requires, as a rule, the following complementary activities:

• strategic analysis of an industry or sector, identification of potential acquisition target businesses;
• distinguishing industrial, financial corporations or mixed groups that have the potential to purchase or invest into the target business;
• modeling the outcome of the contemplated transaction for the company, the investor, local market, the sector and, as required, - for the national economy;
• comprehensive legal, technical and financial due diligence of the company, evaluation of the business, resulting in a report or an investment memorandum;
• restructuring of shareholders capital, restructuring of the business, company restructuring with the aim to optimize the transaction value;
• providing partial, usually loan or bond, financing of the acquisition;
• structuring and elaboration of agreements, conducting negotiations and providing negotiation support, execution of the agreements;
• observation of performance under agreements and settlements between the parties, monitoring the results of the transaction.

The measures aimed at protection against hostile takeover may vary from urgent blocking hostile accumulation of shares, organization and financing of counter-purchase of the shares to finding an alternative friendly investor.

Our company has a strong proven track record in mergers and acquisitions, its experience may be verified by the accomplished transactions listed below.

1997

Ivano-Frankivsk Armature plant – sale of the controlling stake to a Ukrainian strategic investor

Kriviy Rig Cement – sale of 20% stake to a Ukrainian strategic investor

Norsk Hydro (Norway) – acquisition of ten Ukrainian regional agrochemical complexes to create a distribution network

Dniprodzerzhinsk River Port – sale of 20% stake to a Ukrainian investor

Nizhyn brewery – sale of 20% stake to a Ukrainian financial investor

Dniprokysen – sale of 15% stake to AGA (Sweden)

Shkirianyk – acquisition of Ivano-Frankivsk company by request of an Italian strategic investor

1998

Kyiv Plumbing Fixture Plant – sale of the controlling stake to a Ukrainian strategic investor

Zavallia Graphite - sale of the controlling stake a Ukrainian strategic investor

Kyiv River Port - sale of 25% stake to a Ukrainian financial investor

Galakton Kyiv City Dairy – accumulation and sale of 25% stake to a Ukrainian strategic investor

Mamalyzhsky Alebasyter Works - sale of 15% stake to a Ukrainian strategic investor

1999

Kamianets-Podilsky Cement Works (Podilcement) - sale of the controlling stake to CRH multinational corporation

2000

Dniprovagonmash - sale of 15% stake to a Ukrainian strategic investor

Alyiye Parusa Mykolayiv Perfume and Cosmetic Plant - sale of 15% stake to Russian concern Kalyna

Zvenigorod Cheese plant - sale of 15% stake to a Ukrainian strategic investor

NBI – acquisition within the joint EPIC-KINTO venture project

2001

Mariupol Insulation Materials plant - sale of the controlling stake to a Ukrainian strategic investor

Mykytyv Alebaster Works - sale of the controlling stake to a Ukrainian strategic investor

Doncement - sale of 20% stake to a Ukrainian strategic investor

Dniprocement- sale of 15% stake to Heidelberger group

2002

UMC – sale of the 16% stake by Dutch KPN to Russian strategic investor MTC

Kyiv Reinforced Concrete Articles Plant No. 5 – sale of the controlling stake to a Ukrainian strategic investor

Kamenetz-Podilsk Modul Metal Prefabricated Elements Plant - sale of the controlling stake to a Ukrainian strategic investor

Dnipropetrovsk River Port - sale of 10% stake to a Ukrainian strategic investor

2003

Chasivyar refractory plant – sale of 20% stake to a Ukrainian strategic investor

2004

Achangaran Cement Plant (Uzbekistan) – sale of 25% stake to foreign strategic investor Zeromax