News Parkiet

Banking

Market speculates about terms

of Pekao-BPH tie-up

Polish equity analysts begun looking at the possible terms of a future all-equity merger between Bank Pekao and Bank BPH, two of the country?s biggest financial groups if their parent companies, Italy?s UniCredito and Germany?s HVB decide to go ahead with the planned merger. Most analysts say BPH shareholders will receive between 3.7 and 4.3 shares of Pekao if the merger goes through.

Petrochemicals

Lotos IPO almost thirty times oversubscribed

Poland?s second largest oil refinery Grupa Lotos said its Initial Public Offering has been 29.3 times oversubscribed by retail investors according to a report published over the weekend. Many retail investors who ordered Lotos shares using money borrowed from their brokers could end up losing money unless the stock gains at least 11.4 from its IPO price of 29 zloty a share.

Shares of Grupa Lotos start trading on June 9.

Chemicals

Senior ZAP executive fired over dispute

with unions

Senior sales and development executive at Zakłady Azotowe Puławy fertilizer plant lost his job recently because of continuing disagreements with the company?s trade unions. Zenon Gruszecki worked at ZAP for more than 25 years. He was appointed to company?s board in 1998 and was responsible for ZAP expansion strategy, including the plan to build a new melamine resins facility.

Building materials

Opoczno to prop up stock price after IPO

Two main shareholders of Opoczno SA, Credit Suisse First Boston and private equity fund Enterprise Investors have agreed to a six-month lock-up period if they fail to sell their entire 98.8 percent stake in Poland?s no. 1 ceramic tile manufacturer. Additionally, CSFB has agreed to buy back up to 1.48 million shares, or 9 percent of the total if Opoczno?s stock falls below IPO price within 30 days on the WSE.