During the last months Soul Partners team has been analyzing eastern Ukrainian small and medium enterprises, which could make a case for investments attraction and has been in negotiations with businesses regarding their interest in financing attraction and investment projects. In the process of selection preferences has been granted to SMEs in the following sectors: agriculture (excluding commercial grain production), IT, innovative manufacturing, alternative energy and tourism.
As a result, letters of engagement for investments attraction were signed with four companies: LLC “AgroMaster Plus” (Zaporizhzhia region), LLC “Kod Zdorovia” (Donetsk region), PE Magistr (Zaporizhzhia region), LLC Azovtechgas (Donetsk region).
Companies which were selected for cooperation are the leaders in their niche and meet the defined criteria for investments attraction. Those are companies having fewer than 250 employees, an annual turnover of up to €40 million or a balance sheet total of no more than €20 million.
Vitaliy Provotorov, Managing Partner of Soul Partners:
“Investment banking services are normally afforded by large companies. But USAID «Economic Resilience Activity” Project gives small regional enterprises an opportunity to attract investments. It is an honor for our team to work with USAID Project and, most importantly, to help businesses to raise financing for growth and added value generation. Such cooperation will have a positive effect on the development of the region, which is short of investments. "
According to preliminary forecasts, the attracted investments amount will be up to a few million US dollars for some companies. Such support will allow the companies to grow further, invest in new technology, increase jobs and improve the competitiveness and attractiveness on their markets.
The investment attraction process for the abovementioned companies is still ongoing: Soul Partners expects to finalize the process till the end of 2021.
Background information
Soul Partners is an investment banking boutique that provides professional financial consultations to the businesses and to investors. We are specialized in investments attraction, support of M&A and equity-rising transactions and debt restructuring services.
USAID "Economic Resilience Activity" initiative is intended to last six years (2018-2024) and aims to improve the competitiveness and attractiveness of the eastern Ukrainian economy in response to Russian aggression. Targeted regions include territories of Government control areas of the Donetsk and Luhansk oblasts, and separate cities in Zaporizhzhia oblast (focus on the Sea of Azov region). USAID Project places special emphasis on working with internally relocated persons, women, youth, Roms, veterans, the elderly, and other underrepresented groups to ensure their participation in the region's economic success. USAID Project also works with local and regional governments and non-governmental organizations to determine a realistic vision for the future of the region's economy.