Finance
Ferrexpo Unit Faces Bankruptcy Proceedings in Ukraine
Published by Global Banking & Finance Review®
Posted on May 15, 2025
2 min readLast updated: January 23, 2026
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Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on May 15, 2025
2 min readLast updated: January 23, 2026
Add as preferred source on GoogleFerrexpo's Ukrainian unit is facing potential bankruptcy as a Poltava court considers proceedings. Legal challenges have affected the company's shares.
(Reuters) - Ukraine-focused miner Ferrexpo said on Thursday the Commercial Court of Poltava has accepted an application to consider opening bankruptcy proceedings of its Ukrainian unit, Ferrexpo Poltava Mining (FPM).
Ferrexpo shares fell 6.6% to 65 pence after the announcement.
While the application has been accepted, no formal bankruptcy proceedings of the unit have commenced yet, the company said.
The court has scheduled a preparatory court hearing for May 27 at which it will consider the bankruptcy application.
Ferrexpo has been battling legal disputes in Ukraine since 2022, when its controlling shareholder, Ukrainian billionaire Kostiantyn Zhevago, was arrested on charges of embezzlement and his involvement with the now-bankrupt lender Finance & Credit Bank.
A Ukrainian court had upheld a 4.73 billion hryvnias ($114.06 million) claim against FPM in 2024, which asserted that the unit, which operates Ferrexpo's largest mine, had provided some sureties to Bank F&C.
This claim was later suspended by the Ukrainian court of appeal and a decision is still pending.
($1 = 41.4690 hryvnias)
(This story has been corrected to say that the court accepted the application to consider opening bankruptcy proceedings, not to open proceedings, in paragraph 1)
(Reporting by Yamini Kalia in Bengaluru; Editing by Nivedita Bhattacharjee and Shailesh Kuber)
The main topic is the potential bankruptcy proceedings of Ferrexpo's Ukrainian unit, Ferrexpo Poltava Mining, and the legal challenges involved.
Ferrexpo shares fell by 6.6% after the announcement of potential bankruptcy proceedings for its Ukrainian unit.
Kostiantyn Zhevago is the controlling shareholder of Ferrexpo and was arrested on charges of embezzlement related to Finance & Credit Bank.
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