KIEV, July 24 (Reuters) - One of Ukraine's largest sugar producers, Sugar Union Ukrros <UROS.PFT>, has raised $42 million via a private placement of 20 percent of its shares to fund growth and plant upgrades, the firm said on Tuesday.
Ukrros's supervisory board head Sergei Fedorenko said the firm placed the stock with 20 institutional investors from Europe and the United States, gaining a market value of $210 million. It may consider floating more stock in the future.
"I can't say right now whether it will be another 5 or 20 percent. We have until the end of the year to see how things unfold and then take a decision," he told a news conference.
"We are not saying that we definitely want to keep a controlling package in the firm."
He said the funds raised would go toward expanding the area sown with sugar beet to 70,000 hectares from 40,000 hectares, upgrade plants and possibly buy small Ukrainian sugar producers.
Sugar Union Ukrros controls 10 percent of Ukraine's sugar market with 2006 output of 250,000 tonnes of sugar and Fedorenko said it aimed at doubling the share by 2011.