Group DF Became The Investor Of The Zaporozhye Titanium-Magnesium Combine


Group DF Group of companies and Fund of the state property of Ukraine finished process of creation of Zaporozhye Titanium-magnesium Combine limited liability company.

In December, 2012 the Toleksis Trading Limited company entering Group DF, won competition on selection of non-state participants of LLC Zaporozhye Titanium-magnesium Combine (LLC “ZTMС») which was made by the Fund of the State Property of Ukraine (FSPU). LLC  “ZTMС» is created according to the resolution of the Cabinet of Ukraine No. 955 of October 3, 2012 for attraction of investments on the enterprise.

To creation of LLC “ZTMС» preceded repeated estimation of cost of a complete property complex of the state enterprise «Zaporozhye Titanium-magnesium Combine” (SE “ZTMC”), carried out in the summer of 2013, and also agreement resigning between FGIU and the Toleksis Trading Limited company by which the order of creation of LLC “ZTMC” is regulated.

According to this agreement, FGIU will bring the SE “ZTMC” complete property complex in authorized capital of LLC “ZTMC” and will receive 51% a share in authorized capital of society. The Toleksis Trading Limited company chosen as FGIU as the winner of competition on selection of non-state participants of LLC “ZTMC”, will bring the 110 million US dollars provided by the agreement which will be directed on implementation of investment projects at the enterprise, and will receive 49% a share in authorized capital of society. Earlier the Toleksis Trading Limited company got all necessary permissions from Antimonopoly committee of Ukraine.

“We are glad that process of creation of LLC “ZTMC” at last came to the end, – the managing director of Group DF Boris Krasnyansky reported. – We have large-scale plans for full reconstruction and increase in enterprise capacities which will allow “ZTMC” to make high-quality production with the high value added, demanded in the world markets. Having become the participant of the enterprise, we will be able to start implementation of these plans”.

The program of modernization of ZTMC provides stage-by-stage investments into construction of new capacities for production of a titanic sponge and slag, and also adjustment of production of titanic ingots and alloys – production with the highest value added. “This program provides some possible scenarios depending on various factors, including conditions in the world markets, – Boris Krasnyansky specified”. – At the optimum scenario the volume of investment of Group DF into ZTMC can reach 700 million US dollars. In fact, it will be construction of new modern plant”.

The investment Group DF program provides stage-by-stage construction of new capacities for production of a titanic sponge. The first stage – 20 thousand tons per year, the second – similar power. Also the increase in production of titanic slag due to construction of new capacities is planned.

Besides, Group DF plans to arrange for ZTMC production of ingots from the titan and his alloys with other metals – production with the highest value added that will give the chance to Ukraine of an exit to the world markets of high technologies, such as aircraft industry. At the initial stage the power of this production will make 1 thousand tons of ingots of the titan and it having swum in a year, with prospect of increase in power to 12 thousand tons per year.

Investments into ZTMC are part of strategy of Group DF on creation of the vertically integrated titanic holding uniting assets on production and enrichment of titanium bearing ores, and also production of chemical and metallurgical titanic production.

“Large players work at the titanic markets of the world. If in Ukraine this branch exists as a large number of the separate enterprises, all of them will lose any weight on a global scale, – the managing director of Group DF emphasized. – If Ukraine wants to remain among players in this branch, it has to consolidate it. We are capable to make it and to attract necessary investments into modernization of the domestic titanic enterprises”.

Reference 

Group DF reference – the diversified international group of companies which is carrying out the activity in a number of the countries of Europe and Asia. The main activities of group are nitric, titanic, gas and bank businesses. Other fields of activity of group include now agrobusiness, media business, production of the calcinated soda, development of power infrastructure and real estate.