Assets

JKX Oil&Gas
Oil & gas company

Undisclosed

PCG’s investment

2015 – 2018

Project duration

Russia, Ukraine

Geographies

We acquired a significant equity stake in and bonds of the oil and gas company with operations in Russia, Ukraine, Hungary and Slovakia
The company is one of the largest independent players in the gas markets of Ukraine and southern Russia, and is listed on the London Stock Exchange (LSE: JKX).
Poor management of the company over the course of several years resulted in severe underperformance leading to a 90% fall in the price of the company shares.
Proxima Capital Group purchased a major stake in the company and is actively working to improve its operational efficiency. In addition to the equity stake, in 2015, PCG bought bonds of JKX Oil & Gas with a USD yield of approximately 40% p.a. over the investment horizon.
On the 14th of August, 2018 Proxima Capital Group sucessfully sold its entire 20% shareholding in JKX Oil & Gas and all bonds. The offer price enables PCG to achieve a meaningful investment return on the firm’s investment in JKX Oil & Gas.

As a major shareholder, Proxima Capital Group has, in 2015 – 2018:

Re-elected the board of directors and appointed new management
Restructured debt
Optimised business processes

Role
PCG