Admiralty International’s Directors and Associate Directors have completed (or are now engaged in) the following relevant assignments inEastern Europe:

 

Armenia: EnterpriseDiagnostic Review and Restructuring

Performed commercial and financial diagnosis on financially distressed enterprises for the Ministries of Economy, Finance, Industry, Agriculture and Construction.  Developed short-term action plans to achieve break even cash flows and commercial viability.  Identified and contacted likely investors for viable enterprises.  We are now in the process of raising capital for several enterprises.  A World Bank project, followed by independent investment banking activities.

 

Armenia: Establishment of Investment Funds

We have established and licensed and now operate a voucher privatization fund and a fund management company.  Annual return on investment exceeds 56%.  We are in the process of establishing a cash fund inArmenia, and are now in discussions with EBRD inLondonabout co-investing.  An independent Admiralty International investment.

 

Armenia: Hotel Investments

Worked with the Government of Armenia and Merrill Lynch in the privatization of three government owned hotels.  The largest, the Hotel Armenia, was sold to Marriott Corporation of theUSby Merrill Lynch.

 

Armenia: Real Estate Investments

We have established a property holding company with several properties under management. An Admiralty International investment.

 

Armenia: Strategic Privatization Advisor

We acted as strategic investor in the privatization of 10 large enterprises, in collaboration with Merrill Lynch,London.  Selected in competition against many of the world’s top investment banks.  Sponsored by the Government ofArmenia.

 

Armenia:Saleof ArmenTel

We have completed the sale of the national telephone company to OTE of Greece for over US$500 million cash and investment commitment, in collaboration with Merrill Lynch,London.

 

Armenia:SaleofYerevanCognacFactory

We have completed the sale of theYerevanbrandy factory to Pernod-Ricard ofFrancefor over US$60 million cash and investment commitment, in collaboration with Merrill Lynch,London.

 

Armenia: Purchase and Restructuring of Commercial Bank

Entered negotiations with the Government to purchase and recapitalize a major commercial bank, together with EBRD and others.  Project eventually cancelled when the bank was sold to a higher bidder.  This is an independent Admiralty investment.

 

Armenia: Direct Investment in Bank Stock

Direct investment in bank stock of three major banks.  Currently in negotiations with the Government to take a strategic investment in a fourth bank.  An independent Admiralty investment.

 

Armenia: Direct Investment in Electronics Factory

Direct investment in stock of capacitor plant, represents 7% of company.  We hold a seat on the board of directors.  An independent Admiralty investment.

 

Armenia: Direct Investment in Wine andChampagneFactories

Direct investment in stock of recently privatized wine factory (over 1% of outstanding shares) and champagne plant.  Meeting with champagne plant to arrange recapitalization.  An independent Admiralty investment.

 

Armenia: Direct Investment in Capital Markets

Significant direct investment in Government Treasury Bills.  An independent Admiralty investment.

 

Armenia: Import of European Products

Advised Dutch exporter involved in importing meat products toArmenia.

 

Bulgaria: Investment in Specialty Chemical Factory

Retained by private owner of Novochem, a specialty chemical factory to find a foreign investor, based on introduction by Bulgarian Minister of Industry.  Now in process of preparing due diligence.

 

Bulgaria: Import of European Products

Advised Dutch investor involved in importing meat products toBulgaria.

 

Bulgaria: Export Clients

We are acting for Bulgarian and American clients involved in exporting wine (including Seagram Chateau and Estates, the owners of Mumm and Perrier Jouet Champagne in France and Sterling and Cuveé Mumm in California), as well as tea and computer software products.

 

Bulgaria: Privatization of State Owned Enterprises

Pilot program to develop and implement methodologies for privatization and private enterprise reform. This included assessing the enterprises, valuation, a survey of potential investors, recommending a privatization technique for each enterprise, preparing each enterprise for privatization, preparing the offering, formalizing investor interest, negotiating the sale with Government approval and preparing a final report.  A World Bank project, followed by independent investment banking activities.

 

Bulgaria:  Privatization of State-Owned Enterprises

Privatizing tourist resorts and non-ferrous mines in cooperation with major European investment bank.  An EU Phare project.

 

Bulgaria: Real Estate Investments

Central business district and residential real estate investments, including construction of new properties and rehabilitation of existing real estate.  An independent Admiralty project.

 

Lithuania: Commercial Bank and Loan Portfolio Review

Acted as banking and financial specialists on a World Bank team evaluating the commercial viability of state owned banks and enterprises.  Reviewed the lending portfolio of the state owned commercial banks to determine quality of loan portfolio and loan concentrations.  Reviewed credit procedures and policies and level of loan loss provisioning.  Also identified strong growth areas for the loan portfolio.  Identified non-performing borrowers and levels of overall arrears.

 

Macedonia:  Review of Stopanska Banka

Met senior bank officials.  Reviewed bank prepared financial statements.  Evaluated credit mechanisms, loan portfolios and problem loans.  Examined funding mix and costs.  Performed economic and commercial review of country’s trading prospects, and bank major clients.  Performed preliminary diagnostic evaluation on bank’s viability.  Recommended strategies for restructuring.  Reviewed DFI strategies and possibilities.  EBRD project.

 

Moldova:  Establishment of Winery

Negotiated and structured a US$12 million fully integrated grape growing, wine making, marketing and distribution company, in conjunction with International Finance Corporation (IFC) and Dutch investors, and coordinating related World Bank loan program and donor financing of farm services centers, laboratories, nurseries.  IFC and Admiralty joint project.

 

Moldova:  Investment Funds

Preparing to enter investment fund market.  Have completed extensive research on existing funds and legal environment.  An independent Admiralty investment project.

 

Poland: Restructuring and Privatizing State Agricultural Enterprises

A pilot European Community project to restructure and privatize agricultural companies.  Project involved valuation of business, cost accounting, negotiation with trade unions, preparation of sales tender documents, and included advice on recommended changes in Polish commercial law. Funded by EC Phare.

Poland:  Acquisition of Chemical Factory

Adviser to a large French public chemical company in their takeover of a large polyamide fiber factory inPoland.  Project included work inFranceandGermany.

 

Poland: Sale of Major Manufacturing Facility

Represented largeNew Zealandinvestor in the negotiation and structuring of a major manufacturing plant inPoland.

 

Romania: Investment in Valve Factory by US Company

LargeUSmanufacturer and on-seller of valves is involved in direct investment in a Romanian manufacture and supplier of valves.  We have advisedUSmanagement on investment laws and valuation methods for Romanian company.

 

Romania: Analysis of Commercial Bank Portfolios

Reviewed international audits ofRomania’s six commercial banks.  Evaluated loan portfolios and problem loans.  Examined funding mix and costs.  Recommended strategies for restructuring.  Discussed direct foreign investment possibilities with local and international banks.  Advised Central Bank on finance and accounting matters relating to the transformation of financial statements to Western standards.  A World Bank project.

 

Romania: Diagnostic of 30 Industrial Enterprises

Reviewed economic recovery plans of 30 financially distressed state owned enterprises.  Reviewed business plans, historic and projected financial statements and competitive positions of each enterprise.  Developed capital restructuring plans, including suitable combinations of debt forgiveness and debt/equity swaps. Opportunities for DFI developed.  This project required close involvement at senior levels with the Romanian Development Bank and the Romanian Commercial Bank.  A World Bank project.

 

Romania: Action Plan Task Force for the Restructuring Commission of the State Ownership Fund

Developed and refined financial recovery action plans for designated industrial enterprises, in cooperation with the Ministry of Finance, various Ministry of Industry departments, Ministry of Labor and Social Protection, Ministry of Justice, Public Ownership Fund, Private Ownership Funds, the Council for Coordination, Strategy for Economic Reform, and major banks. Enterprises were slated for liquidation, downsizing, sectorial studies, technical assistance, management changes, etc.  Strategies to attract foreign investment were developed and are now being implemented.  A World Bank project.

 

Romania: Advisory Assistance to Restructuring Agency

Provided the senior advisor to the Romanian Agency for Restructuring for the last three years.  In this capacity, we review short term action plans and financial recovery plays of state owned enterprises being restructured under the Agency’s responsibility, supervise technical assistance work provided at the enterprise level, and maintain liaison with donor agencies.  A USAID funded project.

 

Romania: Advisory Assistance to the State Ownership Fund

Provided long term advice to the Romanian State Ownership Fund, which owns the Government’s 60% of all SOEs.  We initiated and structured the financial recovery plays of state owned enterprises being restructured under the SOF’s ownership.  EU Phare funded.

 

Romania: Advisory Assistance to the Ministry of Privatization

Providing long term advice to the Romanian Ministry of Privatization. EU Phare funded.

 

Romania: Advising to the Government

Independent Advisor to the Agency for Restructuring within the Ministry of Economic Reform, Government ofRomania. The advisory was direct to the President of the Agency with a portfolio of over 200 industrial and agricultural enterprises. During this program, a special assistance was provided to the Government of theRepublicofMoldovain designing, training and mobilizing their Agency for Restructuring. Project of the World Bank and USAID.

 

Romania: Assistance to SME in post privatization

Designed, launched and managed a 12-man team of specialists to assist SME’s in post privatization. The program  included developing and conducting training seminars in over 20 municipalities, assisting related government agencies and working directly with select enterprises in developing business plans and competing for investment funds. USAID Project.

 

Romania: Advising to the Ministry of Privatization

Advisor to 3 Ministers of Privatization. In the first year, the privatization results in direct foreign investment increased from $17 million the prior year to $483 million in cash sales to foreign enterprises with over $500 million in investment commitments. Also, 75% of all large-scale enterprise privatization since1991 was concluded, 12 of the 28 industrial sectors were over 80% privatized, and the SOE’s in 10 of the 42 counties were over 90% privatized.

 

Romania: Managing the Romanian-American Capital and Trade Development Group

Designed, launched and managed the Romanian-American Capital and Trade Development Group. A special purpose group of 12 professionals mobilized to promote trade and investment between the U.S.and Romania. During this time, the Group directly advised on $191 million successful trade tenders in various sectors and $146 million in privatization investment commitments.

 

Romania: Advising to the Ministry of Industry

Advisor to the Minister of Industry and Resources on privatization and restructuring of the Ministry’s portfolio in defense, mining and energy.

 

Russia: Institutional Development of the Association of Private Farmers ofRussia

A major European Union funded business re-engineering and business development program of support for the Association of Private Farmers of Russia (AKKOR). AKKOR represents about 280,000 private Russian farmers.  This project included the evaluation of the current structure of the association, consultations with senior government officials and presentation of proposed plans of action. An European Union TACIS funded project.

 

Russia:  Privatization of State Enterprises

Provided the Executive Director to the Technical Assistance Center for Medium to Large Enterprises in Voronezh, Russia.  Responsible for identification, supervision and co-ordination of all restructuring projects undertaken by the Center.  Projects included work with companies such as manufacturers of aluminum profiles, aircraft manufacture (TU 144, IL 86 and IL 96 Airbus), various electronic factories, sugar refinery, garment manufacturers, cement plant, tires manufacturer, mining equipment manufacturer and others.  This contract was extended twice, and included also a trip to South Africa and Zambia to assist our Russian client to enter a new market for their mining equipment.