Management

Management structure


Arricano Real Estate Plc, being a public company limited by shares, is headed by the Board of Directors. Composition of the Board of Directors is set out in the company's Articles of Association and was facilitated by the shareholders of the company in accordance with applicable laws, requirements and best corporate governance practices. The Board comprises of three independent and two non-independent non-executive Directors and one executive Director. The Directors report to the shareholders about the performance of the Group, its achievements and plans. The Directors may be appointed and dismissed by the shareholders of the company, all in accordance with the provisions of the Articles of Association.

The Company has assembled a strong Board comprised of individuals who together have relevant sector experience as well as prior experience on boards of publicly listed companies. The Board is responsible for key decisions relating to the Group’s activities, including approval of the Group’s long-term business strategy and annual business plans. The Board comprises of six Directors details of whom, together with details of the relevant sub-committees can be found here.

The Board has established an audit committee with formally delegated duties and responsibilities, comprising at least two independent non-executive Directors. The audit committee meets at least twice a year and is responsible for ensuring that the financial performance of the Company is properly reported and monitored, including reviews of the annual and interim accounts, announcement of results, internal control systems and procedures, and accounting policies.

The Board has also established a remuneration committee with formally delegated duties and responsibilities, comprising at least two Independent Non-executive Directors. The remuneration committee also meets at least twice a year and is responsible for setting the remuneration policy for the executives of the Company.

The Board also comprises of an executive Board Member – Chief Executive Officer, who is appointed by the Board upon recommendations of the shareholders or the Board Members. Chief Executive Officer, being the Executive Member of the Board, forms the Management Board, which consists of managers responsible for the activity of the Group in respective spheres.

The Group’s management team combines extensive industry and market experience (of both private and publicly listed companies) with financial and management expertise, and its members have been involved with the real estate industry for, on average, more than 10 years. The Group’s experienced in-house management team is dedicated to managing all of the internal processes of the Group and the whole process of setting up and running a centre from the initial selection and acquisition of sites to the operation of completed projects. The Group has developed, and continues to refine, a management structure that is focused on enhancing accountability and decision making processes. The team consists of local Ukrainian and international managers, all with significant experience and familiarity with Ukrainian and international real estate markets.

Board of directors Committees Team
Urmas Somelar
Independent Non-Executive Director
Michael Zampelas
Independent Non-Executive Director
Volodymyr Tymochko
Non-Executive Director

Urmas Somelar currently acts as a management consultant, working through his private company US Juhtimise. Previously Urmas worked for over 20 years in banking, predominantly in the credit and credit risk areas. He has extensive knowledge of credit analysis, corporate restructuring and repossessed asset turnaround. Between 2009 and 2015 Urmas built up and led different units within the Swedbank Group, working in the Baltics as well as Russia and Ukraine. Between 2015 and 2017, Urmas acted as the CEO at Riigi Kinnisvara, an Estonian state real estate property and facility management company, which owns and manages more than 1.2 million square metres of office and specialised property.

Michael, together with his associates, established Coopers & Lybrand in Cyprus and Athens in 1970. He served the firm as its Chairman and Chief Executive Officer from its establishment in 1970 until 2001 (latterly as PricewaterhouseCoopers) and as a Non-executive Chairman from 2002 until 2005. He also served as an elected member of the board of the European Organization of Coopers & Lybrand Europe from 1991 to 1999. Michael served as Chairman of the Board of a number of local government authorities and companies. Currently, he is the independent Non-executive Vice Chairman of Eurobank Cyprus Limited and the independent Non-Executive Chairman of the Russian transport company, Globaltrans Investment Plc, listed on the Main Market of the London Stock Exchange. He was Mayor of Nicosia from 2002 to 2006. Since 1997, he has been the Honorary Consul General of Estonia in Cyprus, contributing to the development of the commercial and cultural relations between the two countries. He has played a significant role in the promotion of education, culture, community affairs and business in Cyprus. He is a Fellow of the Institute of Chartered Accountants in England and Wales.

Volodymyr Tymochko is a Managing Director of Private Equity, and a Partner at Dragon Capital. At this position he is responsible for investment management of DUPD – an AIM-listed property investment company with 10 active real estate projects in Ukraine. In 2007, Volodymyr was appointed a Director at Dragon Asset Management (“Dragon AM”), where he was in charge of deal sourcing and management of DUPD’s real estate projects. Prior to joining Dragon AM Volodymyr was an Associate Director for Consulting and Investment Services at Colliers International. Volodymyr graduated from the National University of Kyiv-Mohyla Academy and holds an MA degree in Economic Theory.

Mykhailo Merkulov
Executive Director,
Chief Executive Officer
Juri Pold
Non-Executive Director
Frank Lewis
Independent Non-Executive Director

Mykhailo Merkulov graduated from Romano-Germanic Philology Department of Kharkov State University in 1996, and received an MBA from Manchester Business School in the UK in 2007. Mykhailo has 17 years’ experience across different industries operating in Central and Eastern Europe countries (Ukraine, Russia, Bulgaria, Serbia, Slovenia and Austria). His career started in 1996 when he joined McDonald’s, in Ukraine, where he worked for 9 years on various middle-level and, later, top management positions. After nine years of being with McDonald’s, Mykhailo joined Food Star (Russia) in the capacity of Chief Executive Officer. In 2007 Mykhailo joined Erste Group Immorent AG in Ukraine, a specialist in real estate financing, infrastructure financing and project development, as Managing Director. In 2011 he became Regional Director for the Eastern European Group (Ukraine, Poland, Bulgaria, Serbia, and Slovenia). As of September 8, 2014, Mykhailo Merkulov has been appointed to the position of the Chief Executive Officer of Arricano Real Estate plc and as of 16 April 2015 was appointed to hold the position of the Director of the Board. His competence covers strategic planning and the Company’s business operations control.

Juri Pold as a construction and development professional has more than 20 years of experience working for European companies and respectively the best practices and best European approaches to construction of civil (non-residential) projects. Juri graduated from the Estonian Agricultural University as a civil engineer in 1991. Mr Pold started his professional career in 1990 as project manager. In 1997 Juri joined Skanska, a world leading project development and construction group based in Sweden. Among the main achievements of Juri in Skanska was development of several infrastructural nationwide projects in Finland and Estonia.

Since 2007 Juri acted as a construction director of Expert Capital Management OU: it was an active start of expanding the development projects of shopping malls in Ukraine. Mr Pold occupied the position of construction director till 2009. During this period, Juri in cooperation with the team of international professionals engaged by Expert Capital Management OU worked on commercial real estate projects in Ukraine and Estonia. As a result, one of the first professional malls named - “Sun Gallery” Shopping and Entertainment Center was opened in 2008 in Kryvyi Rih, Ukraine.

In 2013 Mr Pold continued his career as a consultant, where his competence in construction and investments support the companies’ development strategies.

By joining the Board of Directors of Arricano Real Estate Plc Mr. Juri Pold has strengthened the team of professionals engaged in management and supervision of the Company’s strategic development and expansion.

Frank Lewis has a wealth of public company experience, having served as Non-Executive Chairman and Director for a number of international publicly-quoted firms with interests across Europe, the Far East, Middle East and Africa, which has given him a sound understanding of different business cultures and working practices, as well as considerable expertise in numerous business sectors.
In addition to his non-executive roles, Frank had over 25 years of public and private company boardroom-level experience, including as Finance Director, CEO and Chairman, during which time he has been involved in numerous areas of business, including strategic planning, growth management, IPOs, corporate governance and regulatory compliance.

He is a Fellow of the Institute of Chartered Accountants in England & Wales, and was previously a member of the AIM Advisory Council, which advises the London Stock Exchange on matters relating to the AIM market.