Ukroboronprom chief signs order to start corporatization

CEO of Ukraine's state-run Ukroboronprom Concern Yuriy Husyev has signed an order to start corporatizing the state concern.

"With this order, we begin preparations, which will continue for several months, during which we hope bill No. 3822 ('On the specifics of reforming state-owned defense-industrial complex enterprises') will be adopted, and thus the defense industry complex represented by Ukroboronprom will see the long-awaited reform, and the people – confidence in the future," he said during a press conference dedicated to the results of 2020 and plans for 2021, an UNIAN correspondent reports.

Read alsoDefense ministry signs direct contracts with foreign arms suppliersTop management believe the bill will pass Parliament before April 30, while the liquidation of Ukroboronprom will have completed by late June, after which the Defense Systems of Ukraine Holding will be created on its basis. It should take from six months to a year from the moment of liquidation to complete the process of corporatization of 65 state-owned defense enterprises into six branch holding companies, which will become part of the Defense Systems of Ukraine Holding. After that, another year will be spent on an inventory of all assets and intellectual property of the military-industrial complex.

Background

On December 3, Zelensky appointed former Kherson Governor Yuriy Husyev as Ukroboronprom CEO.

On the same day, Husyev said the Concern would cease to exist in 2021.

Ukraine's state-run Ukroboronprom Concern was founded in 2010 to ensure the effective operation and management of state-run economic entities involved in the development, manufacture, sale, repair, upgrade, and disposal of weapons, military and special equipment, and ammunition. Ukroboronprom incorporates about 140 enterprises of Ukraine's military industrial complex.