The Kovalska Group is nearing completion of a modern autoclaved aerated concrete (AAC) plant in Rozvadiv, Lviv region, and preparing for its commissioning. According to CEO Serhiy Pylypenko, the facility is now in the final stage of equipment installation. The first full test-run session is scheduled for early December. Over the following month, the company plans to test and fine-tune the plant’s automated operations, after which commercial deliveries to the Ukrainian market will begin in January 2026.
The first stage of the new plant will produce around 600,000 cubic meters of AAC products annually, including blocks, panels, U-blocks, and reinforced elements. Once the second stage is completed, the plant’s annual capacity will double to approximately 1.2 million cubic meters.
The company also plans to establish a production line in Rozvadiv for a new category for Ukraine — reinforced AAC products. Equipment installation is planned for next year, with sales expected to begin in 2027. Up to 30% of this product line will be targeted at export markets.
At the same time, Kovalska is not currently planning active development projects in Lviv or neighboring regions. Pylypenko noted that such expansion will only be considered once the company sees a clear understanding of demand through the sales of building materials. No market entry is expected within the next two to four years.
Construction of the new Rozvadiv facility began in 2023 to compensate for the loss of the company’s plant in Nova Kakhovka, which was occupied and effectively lost. Total investment in both stages exceeds €100 million. To finance the first stage, the company attracted a €27 million loan from Invest International to purchase equipment from the Dutch manufacturer Aircrete. Funding was provided through the Dutch Good Growth Fund (DGGF).
The plant is being built on an industrial site of more than 140 hectares, located about 40 km from Lviv. The area already hosts sand and limestone quarries and related processing enterprises, providing a convenient raw-material base.
The Kovalska Group has operated on the Ukrainian construction market since 1956 and unites more than 20 enterprises involved in raw-material extraction, building-materials production, and construction. Its products are marketed under the brands “Beton vid Kovalskoi,” “Avenue,” and Siltek. The company’s production assets are located in the Kyiv, Zhytomyr, Lviv, and Chernihiv regions. The AAC plant in the Kherson region has remained non-operational since the beginning of the occupation.
