Misplaced Pages

#628371

39-545: The business group was grouped around PrivatBank . On 18 December 2016 this bank was nationalized by the government of Ukraine, taking 100% ownership. The group is controlled by the billionaire businessmen Hennadiy Boholyubov , Oleksiy Martynov, and Ihor Kolomoyskyi (the latter is the richest and leading partner that is best known to the public). As a business-oligarch entity, Privat Group controls some prominent Ukrainian media, maintains close relations with politicians, and sponsors professional sports . Key businesses of

78-612: A Thomson BankWatch rating statement (an international rating agency) and became a full member of the Europay payment system. In 1998 the Bank obtained a credit rating from Fitch IBCA . On 6 July 2000, PrivatBank shareholders decided to reorganize the Bank from a limited liability company to a closed joint-stock company . The Charter of the Closed Joint-Stock Company Commercial Bank "PrivatBank"

117-461: A commercial bank in the form of a limited liability company. At the very beginning, PrivatBank had only one office and a few computers. PrivatBank was the first in Ukraine to introduce plastic cards and ATMs. In 1996 PrivatBank became a full member of Visa International (payment system) and launched a large-scale plastic cards issuance. In 1997 PrivatBank became the first Ukrainian bank to obtain

156-576: A complicated chain of offshore companies . Despite this, the Ukrainian public has a clear understanding of what exactly belongs to the group. To describe such relations, the media use the wording “company X is controlled by the Privat Group" or "the business of the X company is being organized by the PrivatBank". The group never denies such statements. Various steel companies form the core of

195-520: A controlling stake in the NFP during the auction, to which no one else was allowed. After the change of power, in 2006, Pinchuk ceded control over the NFP and received in return 25% in the Privat ferroalloy business. At the end of 2007, Kolomoisky sold to Evraz the controlling stakes of the six metallurgical enterprises. Privat received $ 1 billion and 9.72% of Evraz shares. However, two years later, Bogolyubov

234-519: A fully digital office in Kyiv , which is informally called the branch of the future. PrivatBank earned a profit of ₴35.050 billion according to the official data of the National Bank of Ukraine in 2021. Below is information on the Bank's equity, assets, and net profit for the past 15 years. More detailed financial indicators of the Bank can be found on the Bank's website in the section About

273-701: A long and complicated history of relations. Presently, the conflict focuses on the bilaterally owned Nikopol Ferroalloys Plant (Interpipe now controls the plant’s business). Both sides apply full-scale legal, public relations and political methods in the conflict. Ihor Kolomoyskyi (the main owner of Privat Group) and Pinchuk sometimes insult each other in their interviews. Henadiy Korban , one of Privat Group's top managers, survived serious assassination attempts in Dnipro in March 2006, and again in September 2010. Before

312-620: A popular nationwide TV company. According to media, Privat Group also controls the UNIAN news agency. Privat Group indirectly owns FC Dnipro professional football club as well as the HC Budivelnyk hockey and BC Budivelnyk basketball teams. They own 2/3rd of Optima Ventures, a Miami-based real estate investment firm led by Chaim Schochet ; the remaining 1/3rd is owned by Miami businessman Mordechai "Motti" Korf and Uri Laber. Optima owns more than 5 million square feet of real estate in

351-719: Is the half-state-owned national oil company, dealing with extraction of petroleum and gas condensate , as well as retailing gasoline through its large gas station network. Halychyna owns and operates Ukraine's oldest oil refinery in Drohobych , Lviv Oblast . The group also recently acquired control over Chornomorsk Fuel Terminal Company, operating the oil & petrol terminal in the Black Sea port of Chornomorsk . The group owns Kamianske based chemical plant " DniproAzot " with 1000000 tons per year of ammonia capacity and 750000 tons per year of urea capacity. Privat Group owns

390-561: Is the largest bank in Ukraine by assets. It was formed on 19 March 1992 and has been owned by the Government of Ukraine since 2016. In early 2024, it was confirmed by the National Bank of Ukraine as one of the country's systemically important banks . PrivatBank has the second-largest network of branches and the largest network of ATMs and terminals among Ukrainian banks . As of July 2022, more than 7,000 ATMs, 11,000 payment terminals and more than 250,000 POS terminals are operating in

429-838: The Orange Revolution , Privat Group had been widely regarded as relatively uninvolved in politics, but loyal to the Leonid Kuchma regime. After the government change, the group's owners, according to media, became close allies of Yulia Tymoshenko (although she publicly denies this). Analysts agree that some of Tymoshenko's decisions as the Prime Minister of Ukraine supported Privat side in conflicts. Some sources state that Privat Group provided significant financial support for Viktor Yuschenko during his presidential campaign and subsequent Orange Revolution . PrivatBank PrivatBank (Ukrainian: ПриватБанк)

SECTION 10

#1732780049629

468-587: The Bank by UAH 116,800 million and by further UAH 38,565 million in June 2017. Subsequently, the Ukrainian state has owned 100% of the shares of the authorized capital. The Bank is a universal Bank that focuses on the retail segment, actively promoting services for small and medium businesses and selectively working in the corporate sector. Almost 19 million Ukrainians regularly use the services of PrivatBank, and there are currently 15 million customers of Privat24 digital banking. The sectoral characteristics of

507-540: The Bank's customer base show that a large part comprises trade and commercial enterprises. A significant share of corporate customers are enterprises in the food, transport, agricultural, and construction industries. In 1999, the Bank launched SMS-banking , and in 2000, it introduced dynamic one-time OTP passwords by linking the card to a mobile phone number. In 2001, PrivatBank launched the Privat24 digital banking system. As of June 2022, more than 15 million people use

546-569: The British magazine The Banker , in 2016 PrivatBank ranked 16th among the largest banks in Central and Eastern Europe and 627th among the top 1000 global banks. PrivatBank is one of the first private commercial banks established in Ukraine. Decision on PrivatBank establishment was taken at the meeting of its founders on 7 February 1992. On 19 March 1992, the Bank was registered by the Stateas

585-577: The Dnipro-based “ Biola ” soft drinks company. The group may also control sugar beet processing plants throughout Ukraine. In 2005, Privat Group bought controlling shares in five companies that fully control electricity distribution in Ivano-Frankivsk , Poltava , Sumy , Chernihiv and Lviv Oblasts . The names of these companies are the name of the respective oblast with the -oblenergo ending, e.g. “Poltavaoblenergo”. Privatbank ,

624-541: The Privat Group, presenting a full manufacturing chain of metallurgy . This oldest and most important part of the group is mostly located in and around Dnipro ( location specified in parenthesises below ). Apart from its ferroalloy-ore assets, Privat Group has stakes in all three of Ukraine's ferroalloy mills and controls two of them. According to the media, Privat Group owns significant shares in Ukrnafta and Halychyna oil refinery , controlling their business. Ukrnafta

663-474: The Privat24 digital banking system. And in 2002, the Bank introduced electronic document management . Subsequently, PrivatBank was the first in the world to introduce P2P transfers between cards on the Internet and began mass emission of instant cards. In 2005, the Bank emitted a millionth credit plastic card. Beginning from 2004, PrivatBank has started to make international money transfers to Ukraine using

702-538: The PrivatMoney payment system. In 2008, PrivatBank created the first iPhone application in Eastern Europe – iPay, and in 2010, PrivatBank launched mobile payment terminals. 2012 was the year of the introduction of contactless cash withdrawal via ATMs using a smartphone and a QR code . And in 2015, PrivatBank launched the technology of instant payment via QR code. In 2016, Visa and PrivatBank announced

741-577: The STP Excellence Award from Deutsche Bank . In 2009, the Bank changed its organizational and legal form to a public joint-stock company. In June 2018, the Bank changed its organizational and legal form from a public joint-stock company to a joint-stock company. On December 18, 2016, the Deposit Guarantee Fund (DGF) appointed a temporary administrator to manage the activities of PJSC CB "PrivatBank" in accordance with

780-775: The United States and is the largest holder of real estate in Downtown Cleveland owning One Cleveland Center and 55 Public Square ; they are previous owners of the Huntington Bank Building ; and the Penton Media Building . Privat Group is involved in a permanent and fierce business conflict with Ukrainian oligarch Viktor Pinchuk and his Interpipe Group . The groups are based in Dnipropetrovsk Oblast, sharing

819-535: The amount of UAH 155,764 million and converted UAH 10,934 million of customer funds, UAH 10,721 million of issued Eurobonds and UAH 7,783 million of subordinated debt into authorized capital of the Bank (‘bail in’). On December 21, 2016, after the bail in, the Bank's shares were sold for UAH 1 to the Ministry of Finance of Ukraine . In December 2016, the Ministry of Finance decided to increase the authorized capital of

SECTION 20

#1732780049629

858-664: The capital and established operational control over the Nikopol Ferroalloy Plant , Pokrovsky (Ordzhonikidze) and Marganets GOKs. Gennady Bogolyubov later admitted that Privat had to negotiate with the governor of the Dnipropetrovsk region Pavlo Lazarenko . So, in 1996, to the Lazarenko’s driver, Leonid Gadyatsky, were rewritten 16.7% of the Privat key company - Sentosa Ltd, 14% of the Solm company, which owned

897-471: The crucial year for the Privatbank Group business when the bank have joined voucher privatization. Having accumulated 1.2 million certificates (2.3% of their total number), the bank began to purchase the shares of the metallurgical enterprises. The first company whose shares Privat received in exchange for certificates was the Dnipropetrovsk hardware plant. With the help of vouchers, Privat entered

936-595: The decision of the National Bank of Ukraine to classify the Bank as insolvent. On December 19-21, 2016, in accordance with the provisions of the Law of Ukraine “On the Deposit Guarantee System”, the DGF dismissed the Bank's Management and Supervisory Board and was solely responsible for managing the Bank's activities during these three days. The DGF recognized the impairment of loans and advances to customers in

975-638: The end of 2007, Privat completed the sale of its metallurgical assets to the Russian Evraz group: the Sukhaya Balka mining and processing plant, the Dnipropetrovsk Metallurgical Plant of Petrovsky and three coke chemicals (Dneprodzerzhinsky Coke and Chemical Plant, Baglecox, Dneprokoks). Kolomoisky is a major shareholder of Ukrnafta (42% of shares in 2008). At the end of December 2007, Privat acquired 12.62% of

1014-402: The first time in Ukraine. The Bank also implemented a number of digital services: In 2020, PrivatBank launched the "Money at the cash register" service that allows to receive cash at store cash registers. Besides, the Bank has the first biometric POS terminals in Ukraine. Moreover, government services became available to customers: In 2021, the Bank opened the first Concept Store in Ukraine –

1053-543: The former head of the Dnipropetrovsk Komsomol Party, suggested to Miloslavsky to set up a bank. Kolomoisky initially opposed this idea, but eventually agreed [2]. In March 1992, four companies — Vist LLC, Sentosa LLC, Som LLC, and Privat-Intertreyding CJSC — established Privatbank CJSC. Tigipko became chairman of the board, and Miloslavsky headed the supervisory board. Unlike state-owned banks, Privat willingly served private entrepreneurs. 1995 became

1092-527: The group (including the PrivatBank itself) are based in Dnipropetrovsk Oblast . The group's founding owners, natives of Dnipro , made their entire careers there. In 1990, the graduates of the Dnipropetrovsk universities, Gennadiy Bogolyubov , Ihor Kolomoyskyi and Oleksiy Martynov, created the first joint business: Bogolyubov and Kolomoisky bought the office equipment in Moscow , and Martynov

1131-466: The group. Korban, whose company kept the register of shareholders of the coke, through the courts canceled the transaction, which allowed his owner to collect a controlling stake. In the late 1990s, Igor Kolomoisky and Victor Pinchuk , who owned large stakes in the NZF, Pokrovsky (Ordzhonikidze) GOK and MGOK, agreed to work together in the ferroalloy market, but soon they quarreled. In 2003, Pinchuk acquired

1170-542: The launch of the Visa Token Service in Ukraine, which replaces confidential payment card information with a unique digital identifier which is a token . The next two years were favorable for smartphone owners: in 2017, PrivatBank brought Android Pay (now Google Pay) to Ukraine, and in 2018 – Apple Pay. 2019 was marked in the history of innovations by the updated Privat24. Beyond that, FacePay24 technology – payment by face – became available to bank customers for

1209-464: The network. The national banking service network of PrivatBank includes approximately 1,200 branches. PrivatBank is the largest issuer and acquirer of electronic payment means in Ukraine. The bank operates several payment services including Privat24 and LiqPay. It is notable for being the first bank to introduce digital banking services to Ukraine. PrivatBank was the first in Ukraine to connect Google Pay and Apple Pay payment services. According to

Privat Group - Misplaced Pages Continue

1248-472: The open market, the controlling stake remained with the government. Thanks to Kolomoisky’s acquaintance with the brothers Hryhoriy and Ihor Surkis and Viktor Medvedchuk , the company’s chairman was dismissed and replaced by Kolomoisky’s appointee. In 2000, with the help of Hennadiy Korban , Privat was able to establish control over the Kalinin coke-chemical plant, the owner of which did not cooperate with

1287-452: The shares of the British oil and gas company JKX Oil & Gas , about 80% of oil and gas assets are located in Ukraine. The businesses of Privat Group are not formally included in a corporation , and its top managers sometimes state that there is no such group at all. However, either PrivatBank or " Privat -Intertrading" company indirectly own all companies regarded as parts of the group. Typically, industrial companies are controlled through

1326-522: The third part of the Privatbank, and at minimum 1% of the Privat intertrading". In 1997, Lazarenko, who had already become the prime minister, was dismissed, and Miloslavsky died of a heart attack while on holiday in Austria . The share of Miloslavsky was inherited by his daughter Marianna, who was just finishing the school. In 1999–2003, Privat's structure bought about 40% of Ukrnafta shares on

1365-535: Was engaged in its marketing in Dnipro . After the collapse of the USSR, friends returned to Dnipropetrovsk and began to import various goods - from sneakers and sportswear to telephones. At this stage, they had a fourth partner, the son of a major Soviet entrepreneur, Leonid Miloslavsky. Each of the partners owned 25% in the total business. To pay for imported goods, the partners set up the export of steel products, Kolomoisky

1404-506: Was in charge of this. Soon they realized that it was more profitable to trade the metal, and then they started to import oil products and began to buy the premises for their storage and transportation. They also took up the ferroalloy direction: the group supplied fuel to the Pokrovsky (Ordzhonikidzevsky) GOK, receiving in return manganese ore and sending it for export; Martynov was responsible for this direction. In 1992, Serhiy Tihipko ,

1443-499: Was registered on 4 September 2000. The launch of the Privat24 project was a significant event in the Ukrainian banking system in 2001. Customers were able to manage their accounts online, make regular payments, transfer funds, etc. In February 2002, PrivatBank emitted its millionth plastic card. In 2003, the Western Union system recognized PrivatBank as the best bank in terms of customer service quality. The Bank also obtained

1482-651: Was removed from the board of directors of Evraz. As of 2024, the Group has more than 19 million active customers. Privat-Intertreyding is controlling the Pokrovsky, Marganetsky, Yuzhny (together with the Russian Smart Group) mining and processing plants. In metallurgy, is controlling the Dnipropetrovsk Metallurgical Plant of Comintern, Dnipropetrovsk Metallurgical Plant of Petrovsky , Nikopol Ferroalloy Plant , Stakhanov Ferroalloy Plant, Zaporizhzhia Ferroalloy Plant and Russian Alapaevsk Metallurgical Plant. At

1521-515: Was the core of the group, as the largest commercial bank in Ukraine. On 18 December 2016, the bank was nationalized by the government of Ukraine, taking 100% ownership. Privat Group officially controls the Privat-TV regional television channel in Dnipro . Ihor Kolomoyskyi, one of the group's co-owners, brought a court suit demanding the right to purchase a controlling stake in Channel 1+1 ,

#628371