Soros Invests in Fund Sponsored by Dragon Capital to Invest in Ukraine
Dragon Capital announced the launch of Dragon Capital New Ukraine Fund, a private equity investment fund focusing on growth-capital investments in Ukraine. The Ukrainian Redevelopment Fund LP (URF), a private investment fund managed by Soros Fund Management LLC (SFM) for Soros family clients, will be one of the first investors in the new Ukraine-focused fund.
The New Ukraine Fund will invest in a wide range of sectors of the Ukrainian economy and will provide businesses with capital and managerial support to enhance performance and upgrade technologies to support long-term growth. Dragon Capital has a successful 15-year track record of private equity investments in Ukraine. The New Ukraine Fund will capitalize on Dragon Capital’s management resources and local know-how.
URF will join Dragon Capital as a seed investor in The New Ukraine Fund. Dragon Capital’s private equity arm will act as the general partner. Shortly after the first closing, which is expected in before the end of 2015, Dragon Capital may invite other investors to participate.
“We are pleased to become a seed investor in a new private equity structure in Ukraine,” said Michael Vachon, a spokesman for SFM. “We believe that international private capital combined with strong local management skills will contribute to and benefit from the recovery of Ukrainian economy. The New Ukraine Fund is well positioned to become one of the first success stories in post-crisis Ukrainian private equity arena.”
“We are very pleased with the strong support we have received for The New Ukraine Fund from SFM and URF, a world-class private equity investor,” said Dragon Capital CEO Tomas Fiala. “We are committing a substantial amount of our own capital to the Fund. We believe the current market environment in Ukraine represents an excellent opportunity to buy and invest in local businesses at attractive prices. We will seek to capitalize on our wide network of proprietary contacts in Ukraine and our disciplined and patient investment approach. We will seek to partner with companies to which we can add value on the operational side.”
About Ukrainian Redevelopment Fund, LP
Ukrainian Redevelopment Fund, LP (URF) is a private investment vehicle that focuses on special situations and private equity investments in Ukraine and companies with significant operations in Ukraine. URF endeavors to make targeted investments that have the potential to promote economic and social development in Ukraine. The principal investment adviser to URF is Soros Fund Management LLC, a private investment advisor to a number of private investment funds that are managed exclusively for Soros family clients.