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Chinese firm’s stake in Ukraine military aircraft engine maker ‘frozen’

Court freezes shares in Motor Sich after security services allege military aircraft supplier’s assets were to be taken out of the country, Ukrainian media report

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A file picture of a Ukraine-made heavy cargo AN-225 Mriya aircraft, designed at the Antonov design centre in 1988, transporting a Soviet-designed Buran space shuttle. Motor Sich supplies engines for Antonov aircraft. Photo: AP

A court in the Ukraine has frozen the shares controlled by a Chinese firm in one of the world’s largest aircraft and helicopter engine manufacturers, according to Ukrainian media reports.

The move effectively blocks the firm’s controlling stake in the aerospace manufacturer Motor Sich, whose products include military aircraft engines.

The Ukrainian security services allege that the purchase of the company’s stock by groups controlled by Beijing Skyrizon Aviation was an attempt to take its assets out of the country, leading to its liquidation, the news agency Interfax-Ukraine reported.

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A court in Kyiv froze shares for a 41 per cent stake in the firm owned by offshore companies controlled by Beijing Skyrizon last week, according to the article.

The Chinese firm indirectly controls a 56 per cent stake in the firm, the report said.

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Beijing-based Beijing Skyrizon was established in October 2014 with registered capital of 1 billion yuan (US$153 million) and it is owned by Wang Jing and Du Tao, according to publicly available business registration information.

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