OREANDA-NEWS. February 02, 2011. DTEK, the largest privately owned vertically integrated energy holding in Ukraine, has selected its potential acquisition targets in case the privatization in the country’s energy sector resumes, says the Chief Executive Officer, Maxim Timchenko.
 
‘We have had our internal discussions and we have come to understanding which targets are of interest for us. We have disclosed some of our targets to public,’ he explained during his interview, which he gave at the 7th Davos Ukrainian Lunch hosted by the Victor Pinchuk Foundation.
 
‘Financially we are ready, so we are waiting for the start (of privatization)’, says DTEK’s CEO.
 
Maxim Timchenko underlined the vital importance of the privatization in the electric power sector for the Ukrainian economy, especially the privatization of generation where significant investments are required.
 
‘We are reckoning on (privatization), waiting and ready for it. I do hope it will start’, he added.
 
DTEK was established in 2005 to run the energy assets of Rinat Akhmetov’s System Capital Management Group (SCM, Donetsk). The Company was delegated the function of strategic management of the Group’s enterprises comprising the vertically integrated chain from coal production and processing to electricity generation and sales.
 
The Group’s corporate structure consists of three elements: a Dutch holding company (DTEK Holdings B.V.), the corporate centre (DTEK LLC with headquarters in Kiev and Donetsk cities) and operating companies located in four regions of Ukraine.
 
Earlier DTEK had announced its intentions to take part in the privatization of Dniproenergo, Zakhidenergo, Kievenergo and Donetskoblenergo, where the Company already has large minority stakes.
 
Our source in the State Property Fund (SPF) says that legal and regulatory framework obstacles to the electric power sector privatization have already been removed and the SPF expects the President and government to resume privatization.