Lekhim, JSC - buying out shares of minority shareholders in Technolog, PrJSC
On 23 February 2018, 2,627,250 shares of Technolog, PJSC were credited to the account of the controlling shareholder Lekhim, JSC as a result of the squeeze-out. Since June 2017, this procedure, which common in the EU and the world, became available for dominant shareholders in Ukraine.
Both Lekhim and Technolog belong to the group of pharmaceutical companies Lekhim which is one of the leaders in development, production and distribution of pharmaceuticals. To optimise the shareholding structure and to improve the governance in Technolog, a group of shareholders, including Lekhim, used its right for a compulsory buy-out of shares from minority shareholders.
Vasil Kisil & Partners Law Firm provided full legal support to the squeeze-out procedure. The lawyers of the firm prepared a detailed plan for the squeeze-out, drafted an agreement between the shareholders for a joint buy-out of the shares, assisted with opening an escrow account in a bank, and drafted all documents required by law, including irrevocable public demand on a buy-out of shares. Also, the firm’s lawyers advised on interaction with an independent appraiser, the National Securities and Stock Market Commission of Ukraine, a bank, and custodians.