Page 62 - UKRRptJune18

first quarter of 2018 increased 1.9% to 26.5mn. During the first quarter Kyivstar transferred more than UAH2.9bn in taxes and duties to the national budget.
9.2.8 Telecoms corporate news
London court rejects SCM lawsuit on Ukrtelecom case. The High Court of Justice in London has rejected an appeal filed by the SCM Group, associated with oligarch Rinat Akhmetov, in a case relating to the sale of Ukrtelecom. The London court had previously ruled in favour of the Cyprus-based firm Raga Establishment which claims $820mn from SCM. “We are disappointed by today's decision of the High Court and, nevertheless, this does not mean that the LCIA arbitration came to the correct conclusion in its decision against SCM. As the judge said, today's decision is limited to a solely procedural issue," Director of International and Investor Relations at SCM Jock Mendoza-Wilson said, Interfax Ukraine reports.
9.2.10 Utilities corporate news
Amobi Capital and Helios Royal Energy to build solar power farms. Amobi Capital and Helios Royal Energy are to construct solar power farms capable of producing 500MW of solar power in Ukraine over the next three years and an additional 1GW in 10 years, Ukrinform reports. Construction will begin this year in the Bohuslav area on the first 35MW solar park. Ukraine installed 257 MW of renewable energy generation capacity in 2017, of which 27 MW comprised wind power, 14 MW biogas plants, and 5 MW small-hydro power stations. Solar accounted for the largest growth last year, due to the feed-in tariff (FIT) scheme that is currently in force for both large-scale and distributed generation PV, Ukrinform added.
9.2.11 Metallurgy & mining corporate news
A strike ended at ArcelorMittal Kryvyi Rih, the biggest mining and metallurgical plant in Ukraine controlled by global steel and mining giant ArcelorMittal, according to the company. ArcelorMittal Kryvyi Rih has agreed to hike its 2018 salary budget by 37% to UAH4.1bn ($158mn) from $3.0bn ($115mn). Worker salaries will rise as of May 1, Interfax-Ukraine said, with another increase possible in October. The plant was completely stopped earlier due to a strike by workers in its railway division, which is likely to have an especially heavy impact after the company experienced several equipment malfunctions in the last few months. Cash flow in April was at negative UAH600mn ($23mn), and the losses for May might exceed $55mn.
The Ebitda of Ukraine's largest steelmaker Metinvest jumped by 14.8% month-on-month to $225mn , according to its monthly results published on May 30. The holding’s revenue expanded 19.9% m/m to $1.1bn. Metinvest’s operating cash flow before working capital changes increased 11.3% m/m to $197mn, whereas cash flow from operations (before profit tax and interest) plunged 83.4% m/m to $25mn in March. The holding’s CapEx fell 7.5% m/m to $49mn and its end-of-month cash balance decreased 7% m/m to $261mn. "Yet another strong month for Metinvest regarding Ebitda," Dmytro Khoroshun at Kyiv-based brokerage Concorde Capital wrote in a research note on may
62 UKRAINE Country Report June 2018 www.intellinews.com