ARMA acquires corporate rights of IDS Ukraine: the state ends years of litigation over Morshynska
12 December 18:42
The Asset Recovery and Management Agency (ARMA) has announced that it has taken over the corporate rights of IDS Ukraine, one of the largest bottled water producers in the country, reports "Komersant Ukrainian".
The decision was made within the framework of criminal proceedings concerning the assets of sanctioned Russian businessmen, including Mikhail Fridman.
Sanctions and criminal cases
According to the agency, the assets were transferred because of their connection with Mikhail Fridman, who is under sanctions by the US, EU, UK, Canada and Ukraine. He is accused of supporting the Russian regime and actions that threaten international security. The transfer procedure was provided by the prosecutor’s office, and the pre-trial investigation is being conducted by the Bureau of Economic Security.
The situation around IDS Ukraine remains one of the most difficult
The situation around IDS Ukraine remains one of the most complicated stories of the management of seized assets of Russian oligarchs in Ukraine. Since 2022, there have been disputes over who should manage the Morshynska and Myrhorodska brands.
In April this year, the previous manager, Carpathian Mineral Waters LLC, actually refused to fulfill the contract, citing legal restrictions that do not allow them to work without the approval of the sanctioned owners.
The transfer of corporate rights directly under the management of ARMA effectively ends a period of legal uncertainty that lasted more than two years.
ARMA announces a new competition
ARMA has announced a new tender – this time separately for the selection of an independent asset appraiser. This will be followed by the announcement of a tender for a receiver, which the agency announced in October.
What happened before
- In 2022, the court arrested the shares and funds of IDS Ukraine associated with Friedman.
- In 2023, Carpathian Mineral Waters became the manager of Morshynska.
- In April 2025, ARMA terminated the contract due to the manager’s inability to fulfill its obligations.
- In October, ARMA announced that the legal disputes had been resolved and the tender would be announced in the near future.
What it means for the market
IDS Ukraine remains a key player in the mineral water market. The ongoing disputes over asset management created risks for the company’s operations and product supply. The transfer of the assets to direct management by a state agency may temporarily stabilize the situation, but further effectiveness will depend on the transparency of the tender and the speed of the appointment of a new manager.
