Supreme Court Rejects Request to Cancel Ukrtelecom Privatization: Important Decision for Economy

After seven years of litigation, the Supreme Court of Ukraine has issued a decision confirming the legality of the privatization of Ukrtelecom. The court rejected the claim of the State Property Fund of Ukraine, which demanded the termination of the privatization agreement concluded back in 2011.

This was reported by the press service of the System Capital Management (SCM) holding, which belongs to businessman Rinat Akhmetov and is the current owner of the company. SCM emphasized that they did not participate in the initial privatization, and control over Ukrtelecom was obtained by the group in 2013 after the acquisition of ESU, the majority shareholder of Ukrtelecom, on the secondary market.

Over the decade since the change of ownership, the company has undergone significant transformation, in particular, investments exceeding $800 million have been made. These funds were used to modernize and develop the company's infrastructure. It is important to note that SCM did not pay dividends from the profits received, but constantly reinvested them in the company's further development.

The holding's communications director, Natalia Yemchenko, emphasized that this decision is of great importance not only for Ukrtelecom, but also for the entire Ukrainian economy. She emphasized that the refusal to review privatization was a safeguard against creating a dangerous legal precedent that would allow the cancellation of privatization agreements even due to minor formal violations.

For the business environment in Ukraine, this decision is an important signal of the stability of legal norms regulating privatization processes. As the press service notes, the court decision has opened the way for further economic stability and development of the telecommunications industry, which is provided by Ukrtelecom.

Therefore, the Supreme Court's decision becomes an important step in ensuring legal certainty, which is critical for long-term investments in the Ukrainian economy, especially in such a strategic sector as telecommunications.