Austria’s Strabag SE, Basic Element (BasEl) and Ukrainian financial and industrial group Development Construction Holding (DCH) are teaming up to form Strabag Ukraine, a multi-profile construction holding company, news reports said.
Strabag SE CEO Hans Peter Halzensteiner was cited by the press as saying at the signing of the agreement that Strabag Ukraine plans in three years to achieve turnover of one billion Euro.
DCH President Alexander Yaroslavsky said Strabag Ukraine plans to focus on construction of transport infrastructure and residential and commercial real estate. He said the company would reconstruct the Kharkov Airport, and plans several projects to develop roads in Odessa and Kharkov regions. The company will also build new cement plants and invest in production of gravel, sand and crushed rock, according to a press release distributed at the signing ceremony.
Basic Element Chairman of the Board Oleg Deripaska said the companies have almost equal shares in the company. He said that the holding company will be a leader on the construction market in Ukraine through the joint efforts and experience of the three founding companies. He said of DCH business in production of granite gravel that Ukraine produces 40 million - 45 million tonnes a year. DCH produces about six million tonnes, but by working with the Russian and Austrian partners it plans to become a leader on this market.
Strabag is one of the biggest European engineering and construction companies specialising in construction of buildings, roads, tunnels, power plants, hydro technical structures, dams, railroad structures and design. Deripaska owns 30 percent of Strabag. DCH is an integrated holding company of enterprises from various sectors founded in March, 2007 from assets previously known as Group UkrSibbank, after the two partners (Yaroslavsky and Ernest Galiyev) decided to divide their assets.