Ukraine’s Supreme Court will begin hearings on 11 September in a high-profile case challenging Irish building materials giant CRH’s purchase of cement producer Dyckerhoff.
Ukrainian rival Kovalska is contesting the Anti-Monopolies Committee of Ukraine’s (AMCU) approval of the acquisition, arguing that CRH now controls up to 46 per cent of the country’s cement market. With demand for cement set to surge amid reconstruction, Kovalska says the takeover undermines competition.
CRH rejects this, insisting the deal met all AMCU conditions and complied with both Ukrainian law and international standards. The company recently sold 25 per cent of Dyckerhoff to Divinereach, an Irish firm controlled by Hyundai Ireland chief Eugene O’Reilly and his family, as required by regulators. Divinereach, which has investments in real estate and IT, confirmed the transaction this week, saying Ukraine is now part of its investment portfolio.
However, concerns have been raised over Divinereach’s lack of experience in cement manufacturing. The Confederation of Builders of Ukraine, where Kovalska CEO Sergii Pylypenko is a director, has written to the Irish foreign minister Simon Harris about the issue.
The Supreme Court’s ruling will be final, concluding litigation that has already passed through lower courts.
