Inzhur founder Andriy Zhurzhiy explained why the REIT fund’s investment in drone manufacturer Vyriy Industries was non-public and, despite the risks, amounted to UAH 750 million.
Inzhur founder Andriy Zhurzhiy explained why the REIT fund’s investment in drone manufacturer Vyriy Industries was non-public and, despite the risks, amounted to UAH 750 million.
As he stated in an interview with Economic Truth, the responsibility for everything the fund does lies with the management company, and it does not coordinate its decisions with anyone.
“If you like it, stay and invest. If you don’t like it, sell it, we provide this opportunity… If the investor doesn’t read the reports, we can’t explain our every step in chats in messengers. This doesn’t mean that we are hiding something. There are many everyday things that we don’t write about,” he commented on the fact that 16% of the REIT fund’s funds were invested in the Miltech fund, and therefore in the Vyriy Industries company.
According to Zhurzhiy, they actually sold government bonds with deferred payment, and Vyriy converted them into money and “paid for the use of these funds.” He added that the fund earned an additional UAH 37 million from this transaction.
“Being deep into the process, understanding the reporting and condition of the issuer, and understanding that we are actually acting as an underwriter for it and have to support it until the capital raising is launched, we made this decision. And we are responsible for it. We were putting our reputation on the line. If we missed, it would mean serious reputational and business losses,” he explained, stating that nothing like this had been done for other companies and Vyriy is an exception.
Zhurzhiy stated that the REIT fund’s investment in Vyriy currently amounts to UAH 750 million and will gradually decrease as the fund needs free funds for construction. “For us, it’s the same as part of the funds in government bonds — we’re just trying to wisely place relatively free liquidity,” added the Inzhur founder.
He also commented on why the fund uses the term "projected return" and "does not guarantee anything" when investing in Vyriy.
“And it cannot guarantee. In the case of Vyriy, the company is under the sights of the Russians. If their production falls, you may get zero, you may get a loss. The issuer may not pay, it may go bankrupt. Next, we need to assess the likelihood of this,” Andriy Zhurzhiy noted.
At the same time, he explained that Vyriy Industries is taking all possible measures to prevent such negative scenarios from occurring — they relate to safety and diversification of production across locations.
“This is the reality of our time. In the energy sector, we build small generation to diversify the risk of the destruction of large plants. But the risk itself exists,” he drew an analogy.
As dev.ua reported, during the first day of operation of the Inzhur MilTech fund, through which Ukrainians have the opportunity to invest in the deftech company Vyriy Industries, more than UAH 500 million was raised .
As you know, since August 13, the Inzhur MilTech investment fund has opened the opportunity for its investors to purchase corporate bonds of the defense company Vyriy Industries through its instrument.
