Ukraine Sells Zakhidenergo to Akhmetov’s DTEK, State Fund Says

Ukraine’s state property fund sold a 45 percent stake in electricity producer PAT Zakhidenergo (ZAEN) to DTEK Holdings Ltd.

The fund, based in the capital Kiev, agreed to sell the stake for the price offered by DTEK, the sole bidder, after an independent adviser valued the energy producer, the fund’s commission said in a statement on its website.

Ukraine set a minimum asking price of 1.932 billion hryvnia ($240.2 million) for the stake. DTEK, Ukraine’s largest private power producer, owned by the country’s richest man Rinat Akhmetov, offered 100,000 hryvnia more than the asking price. The independent adviser said the market price is 1.898 billion hryvnia, according to the fund.

Zakhidenergo, based in the western city of Lviv, is Ukraine’s fifth-largest energy generating company, according to its website. It controls 9 percent of all Ukrainian energy production capacity. Ukraine’s government is seeking to raise 10 billion hryvnia through state asset sales this year, according to the budget.

To contact the reporter on this story: Daryna Krasnolutska in Kiev at dkrasnolutsk@bloomberg.net;

To contact the editor responsible for this story: Balazs Penz at bpenz@bloomberg.net