Zhytomyr Distillery is looking for a new owner. Why was the company put up for sale?
20 March 16:16
The State Property Fund of Ukraine (SPFU) has announced the privatization of the Zhytomyr Distillery. This was reported by Komersant ukrainskyi with reference to the SPFU’s official website.
The company is engaged in the production of alcoholic beverages and has valid licenses for the production and wholesale of alcohol. Its initial value is UAH 101 million.
What is included in Zhytomyr Distillery
The main site of the plant is located in Zhytomyr, at 38 Svyatoslav Richter Street. The plant has several branches and real estate in different cities: Chudniv, Olevsk, Vilshanka, Korochenky, Zvyagel, and Liubar. The total area of the facilities is 24,320.5 square meters, and the land fund is 17.4 hectares.
The company currently owns 147 real estate properties, 47 vehicles and 1457 pieces of production equipment. The plant employs 205 people.
Financial situation of the plant
The carrying value of assets is UAH 101 million and accounts payable are UAH 161 million (including UAH 11.1 million of wage arrears and UAH 26.3 million of debt to the state budget).
Currently, all of the company’s property is under seizure, and the plant itself is not leased.
Terms of sale
The new owner will be obliged to pay off wage and budget debts within 6 months after the purchase.
What we know about Zhytomyr Distillery
This is one of the oldest enterprises in Ukraine, founded in 1896 as the Zhytomyr State Wine Refinery in the Volyn province.
In 1896, the company started operating as a wine warehouse. Later it switched to the production of alcohol and alcoholic beverages. During the First World War, the production of alcohol was limited, and a significant part of the products was used for military needs.
After Ukraine declared its independence, the plant was transferred to the State Committee of Ukraine for Food Industry.
Current state of the enterprise
Main activities: production of ethyl alcohol, vodka, alcoholic beverages, alcoholic juices and malt.
Products: well-known brands such as Zhytomyrska na brunkakh, Chudnoff, Zhytomyr Standard, Stary Zhytomyr, and Presidential Standard.
Certification: In 2007, the company implemented the international quality management system ISO-9001.
Exports: the plant’s products were exported to the CIS countries and the USA.
