US makes major wartime bet on Ukraine’s largest private energy company with $85 million investment
Ukraine’s biggest private energy firm, DTEK, has secured an $85 million loan from the U.S. International Development Finance Corporation for a critical battery storage project, marking the DFC’s largest wartime transaction, DTEK announced on Sept. 16. With Russia continuing to target Ukraine’s energy facilities, particularly power plants, ensuring a reliable energy supply has become a major…
On September 16, the U.S. International Development Finance Corporation (DFC) announced a $85 million investment in Ukraine's largest private energy company, DTEK, for a crucial battery storage project. This marks the DFC's largest wartime transaction to date, according to DTEK. The need for reliable energy in Ukraine has become increasingly urgent due to ongoing Russian targeting of the country's energy facilities, particularly power plants.
In response, Ukraine has sought investors to decentralize energy generation and supply. DTEK, owned by Ukraine's wealthiest man, Rinat Akhmetov, is positioned as an entry point for foreign investors in the energy sector, having recently signed agreements with U.S. and European firms. Despite signing a few deals over the past 18 months, Ukraine has yet to witness a significant influx of foreign investment in its energy sector.
DTEK CEO Maxim Timchenko believes this DFC investment could pave the way for more foreign investment in Ukraine and inspire confidence in wartime investing. It could also be a game-changer for DTEK, which has faced challenges accessing financing from international institutions due to its ownership structure.
Written by urgent.news from Kyiv Independent's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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