UKROBORONPROM AGREED WITH MINISTRY OF ECONOMIC DEVELOPMENT AND TRADE OF UKRAINE ON POSSIBLE CORPORATISATION OF 5 MORE ENTERPRISES

The model of public-private partnership is an effective and efficient way to reform the defense industry of the country and attract investors. With this in mind, the State Concern "UkrOboronProm" agreed with the Ministry of Economic Development and Trade of Ukraine on possible corporatization of 5 more UOP enterprises-participants.

Under Decree of the Ministry, SC "UkrOboronProm" will transform the following enterprises into state corporations: SE"Antonov" (Kyiv), SE "Plant 410 CA" (Kyiv), SE "Chuguev Aircraft Repair Plant" (Chuguyiv, Kharkiv region), SE “General Aviation Design Bureau” (Kyiv), SE "Karpaty" (Ivano-Frankivsk).

Currently, 2 UOP enterprises-participants are undergoing the the process of corporatization , most notably: " “2-nd repair plant of communications means” (Berezhany) and SE“Kherson Plant of Ship Equipment and Ship Armature” (Kherson).

UKROBORONPROM represents a reform strategy of the military-industrial complex of Ukraine. The reform covers clear sequential steps: corporatization, auditing, clustering, protection of technology and launching innovation platform.

Corporatization of UOP enterprises will allow creating a transparent management structure, Supervisory Board, establish common rules including those for international investors.

As part of the strategy, UOP will create five clusters, with the possibility of involving private companies, namely: aviation, armored vehicles, shipbuilding, high-precision weapons, radar and communications.

Reform Strategy also provides for a transparent audit, allowing investors to objectively evaluate the opportunities and prospects for cooperation with the military-industrial complex of Ukraine.