The FINANCIAL — The Khortytsia distillery is starting production of a new vodka trademark by May, Yevhen Cherniak, the Khortytsia trademark owner, said in an interview with the Ekonomichni Novyny.
"We will launch a new product by May holidays. This will be a vodka which will cost UAH 20 or UAH 25. Consumers have switched from a premium class to a lower segment, that's why we give a minus premium for those who prefer premium," Cherniak said.
Speaking about merging with one of Ukraine's ten largest alcoholic beverage producers Cherniak said that a memorandum on intent had been signed and investment bankers had calculated a share ratio in the joint business.
"To become an equal partner in a new business, the other party has to pay the difference between us and them," he said.
Thus, the mentioned company is seeking for additional funding, he said.
As Ukrainian News reported, the Khortytsia distillery, one of Ukraine's largest alcohol producers, reduced alcoholic beverage output by 2.45% or 0.225 million decaliters to 8.954 million decaliters in 2008 compared with 2007.
In December 2007, the Odesa Cognac Factory, the Khortytsia distillery and Megapolis Trading House merged into a single Global Spirits AMG-77 holding.
The Khortytsia distillery was created in 2003.
The Ukrainian-Danish company Image Holding is the company's investor (100% of the plant).
The Khortytsia distillery's products are distributed under the trademarks Khortytsia, Blagoff and Medovukha.