15 March 2022
PeerBerry business partners deliver projections of the repayment of war-affected loans

On February 24, Russia started a war in Ukraine. We all feel this war in one way or another. Meanwhile, people are suffering and dying in Ukraine. Ukraine’s infrastructure is being destroyed, and businesses are being damaged.

We condemn the war. We stand for the right of people to live in a free country.

The size of war damage for PeerBerry’s business partners and its impact on investors

  • Ukrainian market

9 well-established and profitable PeerBerry business partners in Ukraine (Aventus Group: Credit Plus UA, Credit 7 UA, Slon Credit UA, Selfie Credit UA, AutoMoney UA, Aventus Development; Gofingo Group: Zecredit, EuroGroshi, Gofingo) currently are at the epicenter of the war.

In 2021, Aventus Group in Ukraine earned EUR 23,5 million in net profit. The Group’s profit was reinvested in the business. The good body portfolio (without delays) of Aventus Group in Ukraine currently amounts to EUR 34 million (total portfolio of Aventus Group in Ukraine currently amounts to EUR 77,1 million). Aventus Group’s obligations for investments in Ukrainian loans amount to EUR 12,68 million (EUR 6,9 million are short-term obligations, EUR 5,8 million are long-term obligations). Aventus Group companies in Ukraine currently have EUR 1,2 million on accounts.

In 2021, Gofingo Group in Ukraine earned EUR 1,5 million in net profit. Last year’s profit was reinvested in the business. The total portfolio of Gofingo Group in Ukraine currently amounts to EUR 14,4 million. Gofingo Group’s obligations for investments in Ukrainian loans amount to EUR 9,3 million (EUR 8,8 million are short-term obligations, EUR 0,5 million are long-term obligations). Currently, Gofingo Group lenders have EUR 0,8 million on accounts.

Ukraine has been one of the most developed, one of largest, and one of the most profitable markets for our partners. The war has paralyzed our partners’ business in Ukraine and made a significant loss. Despite the damage to the business, our partners expect to recover at least 50% of their portfolio in Ukraine. Over time collected funds will be transferred to cover obligations to PeerBerry investors immediately after it is possible to do so. Such a transfer will be implemented as soon as there is the possibility to make a transfer from Ukrainian banks.

  • Russian market

3 PeerBerry business partners are affected by sanctions imposed on Russia. Russia introduced local laws restricting money withdrawals from the country. Currently, our business partners are investigating alternative legally correct ways of how money transfers from Russia could be implemented to gradually settle with investors.

While Ukraine is fighting for its survival, Russian lenders locally work in an ordinary manner, borrowers’ repayment discipline in Russia remains stable. Our partners are analyzing the possibilities of receiving funding from local banks in Russia. It could speed up the repayment of investments into Russian loans.

It is very important to note that a growing number of sanctions for Russia leads to a significant local currency (RUB) depreciation and the impending economic downturn, which make a direct impact on our partners’ portfolio value vs. the amount of obligations.

In 2021, our business partners in Russia earned EUR 7,4 million in net profit. The profit was reinvested into the expansion of the business / into issuing new loans. The good body portfolio (without delays) of our partners in Russia currently amounts to EUR 20,3 million (the total portfolio of Russian lenders currently amounts to EUR 43,2 million, the value of the portfolio in Russia is calculated under the current exchange rate). Obligations for investments in Russian loans amount to EUR 19,77 million). Currently, Russian lenders have EUR 386 000 on accounts.

In short, currently, the main issue with repaying Russian loans are restrictions for money transfers and significant fluctuations in the local currency exchange rate.

The projection of the repayment of war-affected loans. The ultimate goal – no losses to PeerBerry investors

First, we all must understand that all guarantees (buyback guarantee, group guarantee) are set for ordinary business situations (like the default of the company, loss of the license, etc.). But definitely not for war situations. Therefore, expecting a business to operate like a Swiss watch during a war (like it was an ordinary business situation) is neither smart nor realistic. The war situation requires special readiness to meet the effects of war; therefore, business decisions can only be made based on the situation we are in today.

Assessing the complexity of the situation, and the size of the obligations for investments in Ukrainian and Russian loans, also assessing the performance results and future projections of the healthy part of the business, our partners forecast that all investments in Ukrainian and Russian loans will be repaid within 24 months. There are still many uncertain aspects that depend on how this war will develop, but the projection to cover all war-affected loans within 24 months is realistic.

If the war ends soon, it is likely that war-affected investments will be repaid sooner.

What is important to know about the repayment of war-affected loans

– The projected term of full repayment of war-affected loans is 24 months.

– 60 days term for late short-term loans will be respected – the actual interest rate will be calculated for the actual loan term and 60 days of the delay.

– After 60 days of the short-term loan delay, no interest will be calculated.

– Monthly scheduled repayments of long-term loans will be stopped from March 15. Up to today, Ukrainian long-term loans have been repaid under the schedule. After repayments of long-term loans are stopped, the interest will be calculated additionally for 30 days. Later no interest rates will be paid for investments in Ukrainian long-term loans.

– Repayments of loans will be gradually implemented once per quarter. The nearest part of the repayment is planned for April.

– at least 50% of the Group’s profits will be used for gradual repayment of war-affected loans. Other 50% of profits will be dedicated to ensuring the development of the healthy part of the business and also for keeping a group guarantee for the investments in loans issued by healthy companies.

– All alternative ways to speed up the process of the repayment of war-affected loans will be considered (such as the possibility for our partners to receive funding from banks in Russia, the sale of real estate, etc.)

It is important to note that since the war started and Ukrainian and Russian lenders were disconnected from the platform, our business partners have already repaid over EUR 8,5 million of war-affected loans.

Until all war-affected loans are not repaid, our business partners (Aventus Group and Gofingo Group) UBOs will not take dividends from their business. All the focus currently is on settling in full with our investors and also on the development of a healthy part of the business to generate further efficiency and profits.

PeerBerry is inviting investors to become independent supervisory board members

To ensure full transparency on how our partners are moving towards the final goal of repaying all investments into war-affected loans and to keep our investors updated about our partners’ overall business results, PeerBerry, together with its partners, is initiating an independent supervisory board to which investors who have war-affected investments are invited to join. We expect to have up to 20 investors on our independent supervisory board.

Our business partners will hold regular meetings with investors who will join the independent supervisory board. Our partners will walk investors through business performance figures to keep investors aware of the actual business situation in healthy companies and the progress in repaying war-affected loans. Summarized reviews after the meetings with the members of the independent supervisory board will be shared with all investors.

The initial plan is to have an independent supervisory board until the situation stabilizes or until our investors need it.

Everyone, who supports this initiative and is willing to participate as an independent supervisory board member in PeerBerry, is welcome to apply at [email protected] before the end of this week. 

Business partners in other countries operate efficiently and profitably

All PeerBerry’s business partners, which currently offer loans on our platform, operate efficiently and profitably. We maintain daily contact with our partners in other countries. Currently, we do not see any impact on our partners’ business in other markets. To keep business sustainable, now our partners focus only on those markets where companies have a proven track record and operate profitably.

As explained above, to ensure the successful development of the healthy part of the business and to keep a strong Group guarantee for investments in loans issued by not affected lenders, only 50% of the Group’s profits will be used for repayments of war-affected loans. As soon as the situation stabilizes, our partners will continue developing their smaller businesses in markets that were not connected to the PeerBerry platform yet.

Higher return on investments in available loans

We understand that the current geopolitical context is not motivating to increase your investments, and the war-affected part of investments is a visible issue today; that is why our partners will further increase interest in loans currently offered on the PeerBerry platform to compensate the situation we all are in today.

The increase in interest rates will be announced separately tomorrow morning.


We also invite you to watch the most recent video interview, in which our investor Jakub Krejci, founder of P2P Empire, spoke with the CEO of Aventus Group on how the Group’s business is ready to overcome challenges caused by war and how the Group is prepared to protect investors’ interests. The interview may be found here.