Kernel’s accounts partially frozen
05 February 2020
Kernel, a Ukraine-based agroholding and the world’s leading producer of sunflower oil, has been lately involved in judicial proceedings. In particular, The Civil Court of First Instance of the Swiss Canton of Geneva has frozen the accounts of Kernel’s subsidiary Kernel Holding SA, which is registered in Luxembourg, and several other interrelated subsidiaries including Taman Grain Terminal Holdings Ltd registered in Cyprus.
The reason for such measure was unresolved conflict between Kernel and Mikhail and Inessa Stadnik, the former owners of Ukraine-based Stiomi Holding and Khmelnytskyi Bread Factory, acquired by Kernel back in 2012. By the terms of the acquisition deal, the total worth of two enterprises was $ 60.9 million. However, Kernel fulfilled its financial liabilities only partially failing to pay the full price stated in the contract due to some arising controversies between the parties.
The suspended accounts do not allow Kernel to sell its last asset on the territory of Russia – Taman grain terminal – where the agroholding owns a 50% stake through Taman Grain Terminal Holdings Ltd. Back in late 2019, Kernel was in talks with Russian VTB Group on the sale of the grain terminal, which reportedly were not a success.