One of the largest steel plants in Ukraine ceases operations
1 November 2024 19:04
A commercial court has completed the liquidation of Dnipro Metallurgical Plant in Kamianske. The plant’s property was bought by Metinvest for UAH 9 billion, "Komersant Ukrainian" reports, citing information in the court register.
The bankruptcy proceedings against Dnipro Metallurgical Plant, which was part of the ISD group (affiliated with the Russian state corporation VEB.RF), were opened in May 2019. In 2020, a rehabilitation procedure was introduced, which did not yield results, and on January 26, 2022, PJSC DMK was declared bankrupt.
During the rehabilitation procedure, an auction was held to sell DMK’s property complex, which was acquired by Dnipro Coke Plant (now Kamet-Steel) from Rinat Akhmetov’s Metinvest Group for UAH 9.17 billion.
Dneprovsky Iron and Steel Works is Ukraine’s largest full-cycle steelmaking enterprise. It produces 5,600 thousand tons of sinter, 4,350 thousand tons of pig iron, 3,850 thousand tons of steel, and 3,829 thousand tons of finished rolled products annually.
The company began its history in 1888, when the Polish-Belgian joint-stock company South Russian Dnipro Metallurgical Company founded the Dnipro Metallurgical Plant on the right bank of the Dnipro River in Kamianske, where the first blast furnace was commissioned on March 2, 1889.
At the beginning of the 21st century, Dnipro Metallurgical Plant specialized in the production of pig iron and rolled products and held a monopoly position in the market of broadband universal steel and in the market of profiles. The plant was the world’s only supplier of rolled axial profile billets for railway transport, sold mainly in the US market and certified by the American Association of Railways.
was a part of ISD Corporation. The controlling stake was owned by entities affiliated with the Russian VEB. Minority owners are Sergiy Taruta and Oleg Mkrtchan. Since 2017, the company has been in the sphere of interests of Rinat Akhmetov and Vadim Novinsky’s Metinvest. Since then, the plant has been supplying raw materials and selling finished products through Metinvest’s structures.
on May 10, 2019, Sergey Taruta announced the bankruptcy of Dneprovsky Iron and Steel Works due to aggressive actions of creditors. The creditors claimed about UAH 130 billion against DMK. In October 2019, Dnipro Metallurgical Plant announced the shutdown of its main production facilities. The plant was put up for sale as part of a bankruptcy case. on May 20, 2021, the Antimonopoly Committee allowed Rinat Akhmetov’s Metinvest BV to buy DMK’s assets. on July 26, 2021, the plant’s assets were purchased by Dnipro Coke Plant from Metinvest Group for UAH 9.1 billion.
