The auction committee for the sale of the state stake of 99.9952% in Sumykhimprom JSC has set the starting price for the upcoming "Prozorro" auction at 1.158 billion UAH, along with privatization conditions that, together with the price, must be approved by the government.
"Preservation of the enterprise's operations. Investments in development: at least 150 million UAH for modernization and energy modernization. Repayment of significant debts: salaries, taxes, obligations to the Pension Fund, and overdue creditor debts (excluding debts to sanctioned individuals)," the State Property Fund outlined the main conditions on its website.
Additionally, the buyer will be required to provide social guarantees for employees and not to lay them off for at least six months.
Sumykhimprom is one of the largest domestic enterprises producing complex mineral fertilizers, titanium dioxide, sulfuric acid, and other types of inorganic chemistry. The enterprise is among the top three budget-forming enterprises in the city of Sumy and the region, producing over 30 brands of NPK fertilizers with varying nutrient ratios for different soil and climate zones.
The plant was under the management of a group of companies associated with entrepreneur Dmytro Firtash for more than 10 years. The Economic Court of Sumy Oblast approved the petition of the State Property Fund and the Ministry of Justice in November 2023, closing the bankruptcy and rehabilitation proceedings of Sumykhimprom.
According to YouControl data, by the end of the first nine months of 2024, Sumykhimprom's revenue fell by 48.8% to 315.9 million UAH, while the net loss increased by 36.9% to 450.0 million UAH.