On July 22, 2015, the European Commission, on behalf of the EU, disbursed a loan in the amount of EUR 600 million to Ukraine. This corresponds to the first instalment under the new Macro-Financial Assistance (MFA-III) program for Ukraine, which amounts to a total of EUR 1.8 billion.
The MFA program was contemplated under the Memorandum of Understanding and the Loan Facility Agreement entered into in May 2015 by Ukraine, as borrower, the National Bank of Ukraine, as agent to the borrower, and the European Union, as lender. Both documents were ratified by the Ukrainian Parliament on June 18, 2015.
Aequo has advised the European Commission on Ukrainian and international law matters of the transaction. The lawyers assisted with negotiating the transaction documents, controlling the conditions precedents’ fulfilment and issuing a legal opinion in favour of the lender. The team consisted of Managing Partner Denis Lysenko, Partner and Banking & Finance Head Yulia Kyrpa, and Banking & Finance Associate Denys Kulgavyi.
Of note, this is the third EU macro-financial assistance programme in a row supported by the current Aequo Banking & Finance team, as previous transactions amounting to EUR 610 million and EUR 1 billion were advised on by the same lawyers while they worked in another law firm, prior to establishment of Aequo.
“We are honoured to facilitate this initiative aimed at ensuring financial stability and economic reforms in Ukraine. We also appreciate the confidence the European Commission places with us, maintaining our long-term relationships and continuing to rely on us as its legal advisor after establishment of a new law firm – Aequo,” said Yulia Kyrpa.