As war rages, Ukraine's Smart-Holding seeks foreign investors

A-Smart Holdings

15/02/2023 15:43

By Anna Wlodarczak-Semczuk
       WARSAW, Feb 15 (Reuters) - Smart-Holding, one of
Ukraine's biggest industrial and investment groups, is suffering
critical losses amid the Russian invasion, its CEO said on
Wednesday, as she appealed for foreign investors to help the
company keep production going. 
    Julia Kiryanova conceded that major commitments would
probably only come when the war is over, but said her company -
with interests ranging from steelmaking to agriculture - offered
a platform for private investors with a long-term view.   
    "We are looking for investors in our gas business, in real
estate business, in infrastructure, like industrial parks,
metallurgy, agriculture, all these vital industries to Ukraine,"
she told Reuters on the sidelines of the Rebuild Ukraine
conference in Warsaw. 
    Russia's year-long war in Ukraine has taken a huge toll on
the country, driving millions from their homes. Recent strikes
on energy facilities are also hitting industry, such as
Smart-Holding's steel works. 
    "We're still running the production where we produce coal
and then our steel mill facilities are running," Kiryanova said.
    "We decreased our production around 70% and the rest of the
group, which is gas production ... food, real estate, it has
dropped also around 50%. So the losses are critical." 
    For the gas industry, regaining the eastern part of the
country where heavy fighting with Russia is concentrated is key.
    "We definitely need to free up this territory to be able to
further develop the gas extraction business," Kiryanova said. 
    "For private investors, we are a good platform to enter the
country and further drill and develop the assets. I think
Ukraine could be fully independent on gas supplies and also we
could even extract gas to export to the EU."
 (Reporting by Anna Wlodarczak-Semczuk and Kuba Stezycki in
Warsaw, additional reporting by Olena Harmash, Editing by Mark
Potter)
 ((anna.wlodarczak@thomsonreuters.com; +48226539700; Reuters
Messaging: anna.wlodarczak.thomsonreuters.com@reuters.net))