Shareholders in Ostchem Ukraine LLC (Rivne) at a general meeting on May 22, 2013 decided to liquidate the company due to the restructuring of the Ostchem Holding, fertilizer arm of Group DF.
“The initiative is being realized as a part of a comprehensive program on the transformation of Group DF aimed at increasing the transparency and investment attractiveness of all of the businesses of the group in eyes of creditors and investment society,” the press service of Group DF told Interfax-Ukraine.
The group said that Ostchem’s managers are building a more efficient, regulated and transparent business model.
“The reduction in the number of companies in the holding will result in a reduction in expenses and a clearer business structure. The restructure is also linked to the division of businesses into fertilizer and titanium ones,” the press service said.
The group added that the legal restructuring is only one of the elements of the business transformation, along with the introduction of best practices of corporate governance or audit of financial reports under international financial reporting standards. Among the goals of the transformation is the reinforcement of the group’s positions on the global market and preparations for entering international capital markets.
Ostchem Ukraine LLC was founded in autumn 2005. Its core business is wholesale with chemical products. Director of Ostchem Oleksandr Khalin earlier headed Ostchem Ukraine LLC.
Ostchem is a managing company that coordinates the strategy of six fertilizer companies belonging to Group DF of Dmytro Firtash, four of which are located in Ukraine: Stirol Concern, Severodonetsk Azot, Cherkasy Azot and Rivneazot.
