Three men in a boat. What happens to the assets of Akhmetov, Firtash and Kolomoisky

Three men in a boat. What happens to the assets of Akhmetov, Firtash and Kolomoisky

Expropriation by militants of the assets of Rinat Akhmetov and Dmitry Firtash’s extradition in the USA can significantly weaken the impact of their financial-industrial groups in the country. Among the prominent oligarchs feels confident only Igor Kolomoisky


Two years ago, it seemed that the only thing that remains immutable in a rapidly changing country, this business of financial-industrial groups. Since the late Kuchma, it stopped when a loud “showdown” and finally formed a sphere of influence of the oligarchs, there occurred significant changes. Changing governments and presidents, but the life of the country was determined by the personal understanding of big business with the government. And both the revolution of the Ukrainian people are unable to change the existing order of things. This is not surprising: any rebellion without a clear ideology and goals are destined to fail.

And both the revolution of the Ukrainian people are unable to change the existing order of things. This is not surprising: any rebellion without a clear ideology and goals are destined to fail.

Changed all “black Swan” — an external force, the appearance of which was difficult to predict. For the head of Group DF Dmitry Firtash in this Swan was the American Themis, suspecting him of bribing Indian officials for a license to mine titanium. If Firtash will still be in the United States, he will have a difficult choice: spend the rest of days in prison or to cooperate with the investigation, speaking candidly about his role in lobbying for the interests of the Kremlin in Ukraine and the sources of financing of Pro-Kremlin projects. In this case, he will not only retire, but to spend the rest of my life under the careful protection of the American secret services, the paranoid seeking assassins from the FSB in every corner.

For head SCM of Rinat Akhmetov “black Swan” became the Donetsk militants has ceased to hold the status quo with the “status quo” under the control of Akhmetov’s assets, legally registered in Kiev-controlled territories, but actually working in ORDA.

It’s hard to say, foresaw Akhmetov Firtash, this turn of events, but he once again confirmed the banal idea that “don’t put all your eggs in one basket” and the bulk of the profits it’s better to contribute to the diversification of business, not to display on virgin Islands.

Of the “big three” of the Ukrainian oligarchs Rinat Akhmetov, Dmytro Firtash and Igor Kolomoisky — confident only the latter. Kolomoisky born in another time and in another place, he would have probably been a famous strategist, commander or an outstanding chess player. But he’s the one who has: a successful businessman who knows how to change the benefit rules of the game and attributed to the state their debts.

Revenge of the Indian gods

February 21, Firtash for the second time in his life was in the Austrian court, which examined the request of the FBI for his extradition to the United States. In 2015, the court of first instance rejected the FBI in the extradition of the oligarch. This time the American investigators was more successful. The court ruled that the extradition of Firtash possible. But the final decision should be taken by the Minister of justice of Austria. Therefore, from the courtroom Firtash was released back home. However, the same day he was detained, as Austria has received a new request for the extradition of Dmitry Firtash on the same episode of bribery in India, but in Spain. This time the court refused to arrest Firtash, releasing it without collateral, but confiscated his passport.

By the way, in 2014, when Austrian police have arrested a businessman in an expensive boutique, a 125 million euros bail for him was made by Russian businessman Vasily Anisimov, a close friend Arkady Rotenberg, who, in turn, is referred to the nearest environment of Vladimir Putin.

The interest of American investigators in corruption schemes Ukrainian businessman in India looks quite stretched. Most likely, the FBI is interested in the working methods of the Kremlin in foreign markets, which the tycoon, we can assume, knew firsthand.

Firtash initially built his business on close links with the Russian “Gazprom”. It is the trade of Russian gas through company-pads he made his capital. The most successful of the gas projects became Firtash RosUkrEnergo. According to Reuters, the essence of the business RosUkrEnergo was extremely simple: buy gas at a substantial discount from Gazprom and sell it at market prices in Ukraine and Europe. As at the disposal of Reuters documents, in 2012, RosUkrEnergo received Russian gas at $230 per thousand cubic meters and sold at $430. Only for 2012-2013. Firtash these operations earned $3.7 billion.

“I was advised to sit at the table of negotiations on Association of Russia. Think so, and now”

Before that, in 2010, his company Ostchem Investments received from Gazprombank about $12 billion of loans. Including for the money Firtash was able to buy most of its assets — plant fertilizer “styrene” Severodonetsk, Cherkasy and Rivne “nitric, sulfuric, perchloric,” the seaport “Nika Tera” and the Bank “Nadra”. Russian origin assets of Firtash indirectly confirmed by the fact of their smooth work in the occupied Crimea.

The white house may try to prevent the FBI to bring the matter of the extradition of the oligarch to the end. Firtash has close ties with the American political strategist Paul Manafort, who organized the election campaign of Donald trump and Viktor Yanukovych. Since trump hinted that he is inclined to compromise with Russia, including the Ukraine and Crimea, it is likely that mediated Munafo mouth will be able to reach agreement about easing the pressure on Firtash in exchange for negotiations between Russia and the United States. However, as shown the first week of the Board of trump, American courts did not hesitate to suspend the presidential decree, if there is doubt about their constitutionality. In short, the probability that Firtash stuck in the US for the long haul, quite a lot. Of course, it may not be the best way impact on his business.

Today the main income Firtash bring Rivne and Cherkasy nitrogen plants. The paradox of their activity that they are actively exporting fertilizer despite the fact that in Ukraine, their products are much more expensive than on world markets. For example, in July last year, the average price of urea on DAF (to the border) in world was $175, and in Ukraine — $238, excluding VAT, which is 36% more expensive. One of the versions — plants Group DF occupy a dominant position in the nitrogen fertiliser market and inflate prices in the domestic market. The Antimonopoly Committee has already launched an investigation regarding the abuse of monopoly position on Group DF’s nitrogen fertilizer market. Preliminary authorities confirmed price abuses under the control of oligarch enterprises. In the case of the weakening political position of Firtash, the AMC can make a decision “to the fullest extent of the law.” Group DF Focus has not yet responded to the question about the risks for assets of the group arising from lawsuits around its shareholder.

In “limbo” are owned by Firtash and the gas companies. In April last year, the Parliament adopted the Law “On the natural gas market”, which prohibits free use of the private business of public gas distribution networks. However, until now the oligarch continues to use state property for free. If this law goes into effect, the most valuable asset of regional gas distribution companies will remain an administrative building and truck maintenance crews.

However, in the area of higher risk, the media business controlled by Firtash. “Intermediagrupp” he owns a 36% stake. MPs from the radical parliamentary forces already talking about the need of nationalization of the canal. Now quite unable to recall the year 2009, when Firtash was accused that he had illegally acquired its stake in inter. This issue raised the current Prosecutor General Yury Lutsenko (who at that time held the post of interior Minister).

Renatinho mount

On March 1, the leaders of the separatists ORDO Alexander Zakharchenko and Igor Carpenter said about the “nationalization” of the assets of Rinat Akhmetov on the uncontrolled territories of Donbass. The information appeared with reference to the leaders of the “LPR” that the anthracite mines Akhmetov allegedly given to the management of some of the company “Vneshenergoservis”. Owned by Akhmetov, DTEK deny this information and say that their assets in the uncontrolled territories are operating normally. However, belonging to Akhmetov’s “Ukrtelecom” already “cut” ORDO from wired telephony and the Internet because of the seizure of their offices in the uncontrolled territories.

February 18 in the Internet were anonymous documents on the organization on the territory of “DNR/LNR” “prospective holding company”, Latenergo”. It should include enterprises of “Metinvest” Akhmetov and Vadim Novinsky (yenakiieve steel and its Makiivka branch, Komsomolsky mine, “Krasnodonugol”, Khartsyzk tube-rolling plant), the two largest anthracite mines of DTEK, Akhmetov (rovenkyanthracite and Sverdlovanthracite) and Dokuchayevsk flux and dolomite plant of UMG holding.

Papers resembling a business plan”, Latenergo” described including risks. The main one — off on the uncontrolled territories of communication. And actions of “Ukrtelecom” indirectly proves that the militants took over the implementation of the plan for “nationalization” seriously.

The final termination of the supply of anthracite with uncontrolled territories will make DTEK to buy a much more expensive imported coal, which will lead to the deterioration of the financial results. Last year DTEK was able to restructure its obligations on repayment of Eurobonds in the amount of $910 million from 2018 to 2024. However, in the new conditions the payment of restructurizing debt can be problematic.

If to speak about “Metinvest”, in Ukraine is rather low quality iron ore, so the cost of production of ore concentrate is higher than the world average. The holding company manages to produce globally competitive products by reducing costs in vertical integration processes. The big question is, will if fit “Metinvest” in the budget for the purchase of coke from third-party suppliers.

However, Metinvest said that the problems in the Donbass will not affect the payment of holding Eurobonds, though, and say that the nationalization of the enterprises would make it impossible to export their products.

“I’m a non-confrontational, constructive. When you scream, I do not quite understand the content”

The occupation authorities of Donbass plan to earn the remaining ORDO Ukrainian plants to $3.4 billion per year. While iron ore and coking coal, which still did Kiev-controlled territories, the separatists intend to buy mainly in Russia.

For export sales of products is planned two schemes. The first is the establishment under the control of the Ministry of energy of the trading house, which will centrally implement what you produce “DNI/LC”. And the second is the involvement of private Russian business. In both cases, the company will be registered in the territory ORDO and pay taxes on the territory of the unrecognized republics.

That enterprise traded as subjects of “DNR/LNR”, speech can not be. Separatists issued certificates of origin of products does not recognize anyone. A variant with the Russian trading house, however, also seems unlikely. Russia de jure recognize DPR/LPR as part of Ukraine and is unlikely to openly lead the industry in their territory.

But the variant with attraction of private business is possible. Such schemes have long been run-in Transnistria, which seceded from Moldova after the collapse of the Soviet Union. Transnistrian enterprises work on the territory of the unrecognized Republic, but was in Moldova. The largest of them belong to the Russians.

The only difference in Transnistria to the Russian business was sold to state-owned enterprises. The Ukrainian, who are going to seize the separatists, some property owners in the case of nationalization and resale of the plants new owner is guaranteed to receive the claims to international courts from the rightful beneficiaries of assets.

However, just to stop the plant and wait for a naive buyer separatists may. It is possible that for the salvation of their assets Akhmetov will have to go through Firtash to register in Russia the company, which he will give property complexes to rent. Such a company will be easier to negotiate alternative supplies of raw materials to enterprises. She will be able to sell products in Russia and its export via Russia, she will pay taxes to the DPR/LPR. However, such a scheme is fraught with oligarch reputational risks.

In an extreme case, Akhmetov may just sell the Russians their assets in the uncontrolled territories. However, such a transaction is possible only with a substantial discount.

In short, the situation for Akhmetov is a stalemate, anyway.

Jewish happiness

On 18 December the government announced the nationalization of PrivatBank for a symbolic sum of 1 UAH. From the outside it looked like a raider attack on the country’s biggest Bank. However, as argued in the national Bank, instead of 1 UAH of income financial institutions the owners Igor Kolomoisky and Gennady Bogolyubov left the state 148 billion debts that are included in the accounts of affiliated with the Bank companies. The former shareholders of the accusations are categorically denied. But who will benefit more from nationalization — and remained a big question.

Another gift “under the tree” the government has done Kolomoisky, a reduction of the rent for oil production from 45% to 29% for deposits to a depth of 5 km and from 21% to 14% for deposits deeper than 5 km. interestingly, reduction of rent payments for oil production was the only fiscal relief for business in the Tax code this year. For example, to reduce the rent payments on gas extraction, the deputies refused.

On 30 January the Supreme administrative court of Ukraine made final decision in a dispute between “Ukrnafta” and the SFS relative to the tax debt of the company at 13 billion. The court ordered the SFS to accept as collateral 2.1 billion cubic meters of gas 2006 production, on a fair price at which Ukrnafta argues with the government to this day. In fact, the court agreed that instead of real money earner will give fiscal fuel sold “Naftogaz” 10 years ago.

“I’m not ready to live in when I dictate the rules, I’m going to live by them, and Kononenko will live by different rules”

Theoretically Ukrnafta controlled by the state. 51% of its shares owned by “Naftogaz” and associated with Igor Kolomoisky company — the largest minority shareholder, which owns a 43% stake. However, for many years Kolomoisky control of the company through the management. And the current CEO “Ukrnafta” Mark Rollins, the head of “Naftogaz” Andrey Kobelev called compromise figure, which takes into account the interests of both the state and Privat group.

Quite feels good and owned by Kolomoisky “Ukrtatnafta”. In the past year has seen a growth trend of crude oil imports against the background of continuing reductions in fuel consumption and petroleum imports. According to state statistics, for the year 2016 Ukraine imported crude oil and gas condensate at $175 million, which is 2.1 times more than in 2015. Almost all the oil processed Kremenchug. However, despite the production growth, “Ukrtatnafta” in the past year have worsened its financial indices. For the third quarter of this year, the company showed income of UAH 16 billion vs 20.9 billion UAH over the same period. The profit of the enterprise made up UAH 15.7 million compared to 1.3 billion UAH over the same period last year. It cannot be excluded that the financial indices of the company artificially underestimated. For example, according to the SEC “Psyche”, in November, at the Kremenchug oil storage the minimum selling price of A-95 were 15.8 UAH/l, with an average price of 18.15 UAH/l. On the remaining storage tanks in the country, the minimum selling price of fuel by the average differed only by 30-40 kopecks./This indirectly confirms the rumors that “Ukrtatnafta” displays the profit of the company selling the fuel at reduced prices affiliated with it to the gas station.

In late February, the leadership of the Boryspil international airport the Ministry of Infrastructure has proposed to introduce in five years, biggest discounts for airlines service at the airport. Discounts up to 75% of the base cost of the service will receive the company opened new international flights. The main beneficiary of the innovations will be associated with Kolomoisky, UIA. In fairness it should be said that this preference is quite a market. 2014 MAU has significantly changed its business strategy by making bets on transit passengers from third countries. This allowed the company to significantly expand its route network, to update the fleet with modern aircraft and regularly open new directions.

Read also: In pursuit of corruption. Artem Sytnik about the case of the Roman Nasirov and the interrogation of Rinat Akhmetov

In short, Kolomoisky is the only one of the “big three” oligarchs, who have managed to diversify risks for its financial-industrial groups came out of the banking business and developing promising aviation direction.

Photo: UNIAN, Ukrainian photo

Leave a comment

Confirm that you are not a bot - select a man with raised hand: