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|**BISNISHome PageSearchBISNISEmbassyReportsCountryReportsIndustryReportsCustomsCornerPublicationsSourcesof FinanceLeadsand EventsExchangeRatesState ExportsOtherSources** |  | August - September 1998Kyiv is now home to a number of investment companies seeking local enterprises that offer
potential. One of the first to enter Kyiv was Claflin Capital Management, Inc., of Boston, which
has been operating its Ukraine Fund since 1992.  
Over the last six years, Claflin has invested in more than 30 Ukrainian service and consumer
sector firms, including beverage distributors, travel and tour companies, clothing manufacturers, and
even sail makers. The fund generally has provided such companies with initial investments of
US$250,000 to US$400,000.According to Valeriy Schekaturov, Chief Investment Officer in Kyiv,  Claflin provides
"established management teams with capital and know-how to ensure that they can continue to grow
their businesses and weather the difficulties endemic to a reforming economy."  For those investments
that exhibit initial success, the fund closely considers providing subsequent capital (of up to US$1
million). For those companies receiving additional capital, Claflin typically acquires equity ownership
of between 20 and 50 percent.The fund, capitalized at US$22 million and almost fully invested, has brought an initial rate of
return of 32 percent on capital invested since 1994.  Its success has led the firm to open  another
fund, the "Bolshoy Fund," which will also capitalize on growth in the consumer sector in Ukraine
and surrounding countries.For more information contact: Dayna Gant, Claflin Capital Management, tel: (617) 426-6505, e-mail: [email protected]. For additional information on financing trade and investment,
see the BISNIS document Sources of Finance, available via BISNIS Online at
www.mac.doc.gov/bisnis/finance/finance.htm, or use BISNIS Finance Link, at:
www.mac.doc.gov/bisnis/bisnis.html.This report is provided courtesy of the Business Information Service for the Newly
Independent States (BISNIS)