On 18 January 2018, the Verkhovna Rada of Ukraine adopted Law No. 2149-VIII “On Privatization of State Property” (the “Law”) which aims to improve, advance and simplify the privatization process. The law awaits the signature of the President of Ukraine.
The Law aims to attract a wide range of potential investors, as reflected in the extension of the list of the objects subject to privatisation and the reduction in number of objects prohibited for privatization. Now privatization can be initiated not only by state bodies of privatization or authorized management bodies, but by potential buyers as well. In addition, the Law prescribes a set of measures in order to enhance the transparency of privatization processes through publication of announcements in the mass media on the course and results of privatization.
The Law unifies the approach to privatization. In particular, it introduces a new classification of state owned objects (small privatization objects and large privatization objects). Moreover, it grants the right to resolve privatization disputes at the foreign arbitration courts.
Among other issues, the Law defines the following:
A more detailed analysis will be provided following the official promulgation of the text of the Law.
Based on our considerable experience in privatization projects, Sayenko Kharenko provides a full range of services with respect to preparation for a tender, legal due diligence of privatization objects, and legal support of the tender procedure.