Squeeze-out is over

Attorneys of Advanq have successfully completed the squeeze-out procedure at the JSC Institute of Oil Transportation.

At first, our team has concentrated 95% of the company's shares in a foreign client's ownership. Squeeze-out was the next step. In the project framework, we provided a full range of services, from preparing the shares acquisition documents to opening the specialized escrow account for making payments with them.

Squeeze-out is an established international practice that was introduced in Ukraine in 2018. The procedure may be used by a majority shareholder who has no less than 95% of shares which is in its essence a compulsory acquisition of the remaining 5 % of shares.

Squeeze-out makes it possible to perfect the company’s management as after completion of this procedure the following advantages become clear-cut:
-          no need to call for the general meeting of the shareholders;
-          there is a possibility to take measures quickly and single-handedly;
-          no risk of the company's business being blocked by mala fide minority shareholders.

Advanq offers its Clients comprehensive solutions and complete support of the compulsory acquisition of shares, including:
-          finding the best option for the concentration of 95% of shares;
-          preparation of the necessary documents and control over its flow;
-          assistance in shares evaluation;
-          legal support in depository procedures;
-          escrow account opening;
-          communication with shareholders and the National Depository of Ukraine.

Sergii Vasylyshyn, managing partner, and Daria Kotova, legal adviser, have worked on this project.