Sector: building industry
Shares: 38 %
Investment type: restructuring
2006; Ukraine

Charkovmestrostroj is an important Ukrainian building enterprise. It has a monopoly in underground construction within the Kharkov region and ranks number two in this area in Ukraine by workload. It is one of the strategic companies in Ukraine that is connected to budget funds. In the ownership structure of the company there are also other enterprises that operate in the field of construction in Charkov, Krym but also in Russia. The company Charkovmestrostroj also owns several interesting properties, which have the potential for development. The most important project of the company is the building of Charkov’s underground railway.
Arca Capital entered into the company in 2006 by acquiring 33% of its shares and gradually extended its stake in the company to current 38%. In march 2010, the biggest construction company in Ukraine – Juzpecstroj, purchased 50+1 % of Charkovmestrostroj’s share from the Ukrainian State fund of national capital. Consecutively an agreement was brought forth between Juzpecstroj and Arca Capital Group about strategic partnership, its main purpose being the further development of Charkovmestrostroj.
Juzpecstroj was established in year 1962 and its main field of operation is construction, planning, sanitation, reconstruction and structural design. Some of Juzpecstroj’s projects are for instance construction of a water basin, construction of a petrol generating plant, reconstruction of a hydro genetic complex. The most important Juzpecstroj’s project is the building of a system of plants for the main feeder canal of Dneper – Donbas into the city Charkov. Construction of the feeder canal is the most significant and technologically complex object for delivery of fresh drinking water into outfield distances that was built in Ukraine.
Signing of the agreement for joint development of the building company Charkovmestrostroj between Juzpecstroj and Arca Capital Group created a large corporation of majority shareholders, that will allow Charkovmestrostroj to get the project of Charkov’s underground railway system, gain new contracts, expand its sectional production, creation of new work positions and its establishment in new markets.

Press release: Arca Capital and Južspecstroj will develop Kharkovmetrostroj together
Press release: Arca Capital intends to acquire a majority interest in the Ukrainian Kharkivmetrostroy