UDP is one step closer to foreign investment in fleet modernisation!
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UDP is one step closer to foreign investment in fleet modernisation!
During the visit to Vienna, we held a number of meetings with international partners. We reported on the fulfilment of the conditions for investment in modernisation:
– the replacement of engines on the first vessel, financed by UDP’s own resources, has been successfully launched;
– the process of the supervisory board formation is ongoing;
– the transition to International Financial Reporting Standards (IFRS) is being completed: consultants from the Big Four are engaged;
– asset evaluation starts and an independent audit is being prepared;
– international environmental and labour safety certificates have been obtained.
The Danube is currently experiencing a low market. As a result of record freight rates, traditional cargo from the Danube region has shifted to rail and road transport. Competition has increased as the number of small shipping companies has grown. The number of fleet units has increased significantly. However, our partners and we all agree that the low period will not last long. We see a return of cargo to the river. The supply of fleet on the market will gradually decrease. The old fleet will become uncompetitive.
So our joint long-term strategy remains unchanged.
The meetings confirmed that UDP is moving in the right direction. There are very important positive signals.
We have reached the homestretch, getting one step closer to the decision on investment.
