Maritime enterprises of Ukroboronprom will become an industry association

The Supervisory Board of the State Concern “Ukroboronprom” approved the number and list of enterprises of the renewed defense company.

Among them are those that will become part of the industy research and production associations (IRPA) of the renewed defense company, and those that come under direct management.

At the first stage, there will be 52 and 11, respectively.

The largest association in terms of the number of enterprises will be the direction of precision weapons and ammunition. The IRPA, which will be engaged with armored vehicles, will include 14 enterprises, radar systems – 12, aircraft repair – 7, in the field of marine technology – 4.

So far 11 enterprises fall under direct management, 6 of which are special exporters and 5 are representatives of the aircraft building industry.

At the moment, there are 118 enterprises in the structure of the state concern. Shipbuilding and marine engineering includes 18 factories and design bureaus. Of the 118 enterprises, 21 are in the temporarily occupied territories. Including 3 marine ones, which are located in the Crimea.

The reform of Ukroboronprom provides for the formation of a three-tier vertically-integrated management structure, and will take place in three stages.

At the first stage, the concern will be transformed into a joint stock company. During the second, state-owned enterprises will become joint stock companies or limited liability companies (LLCs). The third stage involves the creation of sectoral research and production associations.

“The reform of the state concern will make it possible to implement the considerable potential of defense enterprises, increase their efficiency, carry out financial recovery, overcome the technological gap with the world’s leading defense companies, attract investments, including foreign ones, transfer technologies, create joint ventures with foreign partners,” Ukroboronprom stated.

The state concern also noted that neither he himself nor his participating enterprises will be privatized during the reform: 100% of the shares of the successor Ukroboronprom will in the future belong to the state represented by the Cabinet of Ministers of Ukraine, and 100% of stocks or shares in the authorized capital of the reorganized state-owned enterprises will directly or indirectly belong to the legal successor of the concern.

Recall that in October, President of Ukraine Volodymyr Zelenskyy signed the Law on Reform of the State Concern “Ukroboronprom”.

The law provides for, first of all, the reorganization of the concern into a joint stock company. The reform should “reset” 118 scattered enterprises of Ukroboronprom, 21 of which are located in the temporarily occupied territories.