Overview
Dragon Ukrainian Properties has published results for the year ended 31 December 2014. Over that period the net asset value fell from $168m to $92m.
Almost all of Dragon Ukrainian’s assets, apart from one shopping mall owned by Arricano and located in Simferopol, were not directly affected by events in Crimea and Eastern Ukraine. The Ukrainian economy though was hit badly, with the currency falling by 48% against the US dollar – this had a considerable impact on the NAV. Arricano won a dispute with Stockman Interhold confirming Arricano’s right to buy out Stockman’s 50%+1 share in the Kyiv-based SkyMall shopping centre.
They generated cash flow of $17.6m from sales of $20.4m. They also sold the rights to develop the second phase of the Obolon project to a third party for $5m. The sale of their stake in Henryland for $9m was the trigger for a $6m distribution to shareholders (5.5 cents per share).
DUPD : No surprise that Dragon Ukrainian suffered in 2014