DPR, LPR announce new investor of major industrial enterprises – joint statement

Society  Business 

The DPR and LPR have reached an agreement with a new investor to finance and develop key industrial enterprises in Donbass, the joint statement of the Republics' heads Denis Pushilin and Leonid Pasechnik reads.

"In light of the challenging situation at industrial complexes transferred under the management of the Vneshtorgservis company, where delays in salaries have become chronic, Republican authorities were faced with a task to find a new investor. At this point, the Governments have finalized negotiations with representatives of an investment group that will provide finance and development of metal and coxed coal enterprises currently under Vneshtorgservis management."

The most important condition of the new arrangement is to pay off all debts in salaries.

The total amount of the investment has not been disclosed. Russian businessman Evgeniy Yurchenko was named as the investor.

On February 27, 2017 DPR and LPR then-Heads Alexander Zakharchenko and Igor Plotnitskiy warned Kiev that the Republics would put Ukraine-registered companies under receivership and halt coal supplies to Ukraine if the Donbass transport blockade organized by Ukrainian radicals was not lifted by 1 March.

Later the LPR introduced external management on non-resident companies to rearrange their production lines so that jobs and social guarantees for the employees remain intact. Some enterprises under external management were transferred to Vneshtorgservis. *t

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