Official statement of Siegfried Wolf, a shareholder of Ukrainian Kharkiv Tractor Plant, on the situation at the facility
Utl.: Official statement of Siegfried Wolf, a shareholder of
Ukrainian Kharkiv Tractor Plant, on the situation at the
facility =
Vienna (OTS) - Siegfried Wolf, a renowned Austrian investor, a
shareholder and a member of the boards of directors of the
international most succsessful automotive and construction companies,
a former head of Magna International Inc., announces changes in a
shareholding structure of Ukrainian-based Kharkiv Tractor Plant
(XTZ).
“In April 2016, I made an agreement with Oleksandr Yaroslavsky, the
founder and president of Ukrainian-based DCH Group that he would
rejoin to shareholders of Kharkiv Tractor Plant, one of the assets
I’ve invested into. Our partnership with Yaroslavsky will give fresh
impetus to the plant. We’ve known each other for a long time,
Oleksandr is a man of his word who is spoken well by his business
partners including foreign ones. That’s the reason I’ve turned to
Yaroslavsky and asked him to become a shareholder of XTZ again when
my Ukrainian assets were under threat,” Siegfried Wolf says.
Wolf also says that his decision came amid a troubled situation at
the plant that looks like an attempt of an illegal takeover: "Some
specific Ukrainian security enforcers are currently unfolding
large-scale campaigns against XTZ aiming to undermine the plant’s
economics, to knock out international investors from Ukraine and to
make Ukrainian assets unattractive for international investors.
Ukrainian Security Service and its Kharkiv branch carried out four
searches at XTZ during March 21-April 8, 2016 seizing financial and
other crucial documents. No accusations related to the alleged
economic crimes have been made so far.
Not only these actions undermine trust of international community and
cast a shadow on Ukraine’s investment climate but also put the fates
of XTZ’s 2,200 employees in danger. Being a responsible employer and
a taxpayer (as of 2015, the plant’s tax payments reached over 100
million hryvnias), XTZ is at risk of shutdown because of the
inability to make payments to its suppliers.
That said, I see no possibilities for a once successful enterprise to
keep implementing its strategy if anti-XTZ campaign continues. I
don’t rule out a possibility to attract international institutions
and lawyers to protect my investment. It may lead to serious
sanctions against those behind a raider attack that use Ukraine’s
name as a cover,” Wolf says.
In conclusion Wolf adds: “My goal behind an acquisition of the
plant’s stake was to take an active role in developing the facility
that boasts a vast potential in the production of agricultural
machinery, tractors and their international promotion. I believe that
together with Oleksandr Yaroslavsky we will resist the destruction of
one of Ukraine’s largest automotive plants.”
Details of the deal haven’t been disclosed.
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