Gennadii Butkevych’s BGV Group Management secures acquisition of AEROK aerated concrete plants in competitive auction

On December 19, 2024, the BGV Group Management investment group emerged as the winning bidder in the Prozorro.Sales auction, receiving the right to acquire the factories of AEROK, one of Ukraine's top aerated concrete product manufacturers.

Rubryka reports this.

The company made an offer that was twice the starting price, purchasing the enterprise for nearly 1.9 billion Ukrainian hryvnias.

This acquisition marked one of the biggest privatization deals of 2024. A total of almost 2 billion hryvnias, to be paid by Gennadii Butkevych's Trident Geoinvest Ukraine LLC, will be allocated to the state budget and used for addressing the aftermath of Russian military aggression.

AEROK's newly acquired plants will complement the group's strategic directions, which the company aims to expand in the upcoming years actively. Specifically, BGV's investments are centered around energy, infrastructure development and restoration, and general development.

Currently, the group's flagship company, BGV Development, is constructing five commercial and residential real estate projects in Zhytomyr and Kyiv. Therefore, the group is currently carrying out several investment projects aimed at increasing assets for the construction industry. Specifically, in September of 2022, the company opened a state-of-the-art facility in the Zhytomyr region of Ukraine, focusing on producing crushed stone products with a yearly processing capacity of more than 1.5 million tons of rock mass.

BGV Group Management comments:

"In the context of Ukraine's rebuilding, factories are a valuable asset that we believe will greatly contribute to our group's enterprise ecosystem and aid in the country's restoration and development. We are not waiting for the end of the war. We are investing and building today. Therefore, such projects are organic for our group of companies."

Per the terms of the sale, Trident Geoinvest Ukraine LLC will maintain the business's core operations and settle all debt obligations within six months, totaling UAH 110.8 million. This includes payment of employee wages, debts to the budget, and overdue accounts payable. The company plans to develop the enterprise under a new brand in the future.

For reference:

Trident Geoinvest Ukraine LLC is a part of the BGV Group Management group of companies.

Moreover, the BGV Group Management investment group is investing $400 million in a graphite project to strengthen Ukraine's position in the global market.