The State Property Fund of Ukraine has chosen a company that will reassess the package of the state-owned shares of PJSC “President-Hotel” in the amount of 100% of the share capital. The winner of the contest, which was on July 27, 2016, was the company LTD “M Consulting.” The winner is required to conduct an assessment of the hotel for 18 days.
The cost of the provision of assessment services is 38 thousand hryvnia. This is the second attempt of the State Property Fund of Ukraine to sell the hotel in the center of Kiev. In November 2015 everybody expected the publication about sale of the “President Hotel”, the starting price of the sale of which was a bit more than 330 million hryvnia. And in May 2016 the State Property Fund of Ukraine №1019 by its order of 18 May 2016 “On Amendments to the Order of the State Property Fund of Ukraine from 15.06.2015 №857 and recognition the orders of Fund as those that have become invalid” has canceled five of their own orders, which were concerned with preparation and conduct of privatization of the “President Hotel”.
The State Property Fund of Ukraine explained that such action has taken due to the fact that the validity of PJSC ended assessment “President-Hotel”. The new assessment could be undertaken now on the basis of only new similar orders. “President-Hotel” (until 1998 – the hotel “Intourist”) was built in 1990.
The four-star hotel with 374 rooms (with meeting rooms, which designed for 12-465 people), reconstruction was carried out in 2006-2012. Net profit in January-September 2015 increased by 1.6 times compared to the same period in 2014 – up to 11.4 million hryvnia, net income decreased by 29.6% – up to 20.45 million hryvnia.
At the end of 2014 the net profit of the hotel has increased in 1,6 times in comparison with 2013 year – up to 7.81 million hryvnia, net income – by 1.7 times, up to 34.72 million hryvnia.
According to the Uniform State Register of Legal and individual entrepreneurs from November 18, 2015, the owner of 100% shares of PJSC was the State Property Fund of Ukraine. The authorized capital of PJSC “President Hotel” on November 18, 2015 amounted to 94.337 million hryvnia.
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