Luxembourg court opens bankruptcy case of Kernel Holding

A court in Luxembourg opened a bankruptcy case of KERNEL HOLDING S.A., a Swiss-registered holding company, in connection with the company's non-payment of a significant amount of debt in favour of Mikhail Stadnik, Obozrevatel reports with reference to the relevant court announcement.

It is noted that the amount specified was established by the London Court of International Arbitration (LCIA).

KERNEL HOLDING S.A. is the parent company of the agricultural holding Kernel. The ultimate beneficial owner is Andrey Verevskiy.

The bankruptcy of KERNEL HOLDING S.A. could lead to financial problems for Kernel agricultural holding, which in turn could lead to delays and non-payment of rents to land shareowners in Ukraine and issues with the company's contractors and foreign investors.

The conflict between the owners of the agricultural holding Kernel and the Stadnik spouses broke out over the refusal of Kernel to pay the cost of the corporate rights of Stiomi Holding and Khmelnytskykhleboprodukt sold to Kernel by Mikhail and Inessa Stadnik, Obozrevatel investigation reads. In addition, the accounts of KERNEL HOLDING S.A. in Switzerland and Luxembourg are currently under arrest at the request of Mikhail Stadnik.

As a reminder, a court in Switzerland froze the accounts of KERNEL HOLDING S.A. in early 2020. Assets were frozen at the suit of Mikhail and Inessa Stadnik.