News Parkiet

Metals

Treasury delays sale of Impexmetal

Polish Treasury Ministry failed to meet its own deadline to sell a large stake in Impexmetal SA to one of several bidders for Warsaw-based metals trading group. The government said it would pick from the list of two bidders, Boryszew chemicals manufacturer and UK's Bancroft investment fund by the end of December. In the meantime, sources close to the situation say Bancroft has more than doubled its previous bid for the 31.5 percent stake in Impexmetal in a last-ditch attempt to beat Boryszew, whose owner, Polish businessman Roman Karkosik, has accumulated 30 percent stake held directly and through various subsidiaries. Government stake in Impexmetal, a former, communist-era foreign trade company specializing in non-ferrous metals is worth approximately 170 million zloty ($54.5 million) based on yesterday's price of 51.3 zloty per share.

Personal investments

Funds switch to emergency valuation methods

Nine of out nineteen Polish mutual fund groups were forced to switch to emergency asset valuation methods as of yesterday because they haven't updated their statutes to reflect recent legal changes. Seven of the nine are still waiting for SEC approvals to ensure compliance with new regulations.

Petrochemicals

CA IB downgrades Orlen to 'reduce'

CA IB Securities brokerage has cut its rating for PKN Orlen, to 'reduce', lowering its twelve-month target price from 40 to 35 zloty. The broker, who previously had a 'hold' rating for the stock, expects lower operating earnings from Poland's no. 1 oil refinery and gas distribution chain because of weaker US dollar.

Venture capital

Capital Partners plans new stock sale

Capital Partners SA, an independent investment firm whose shares are listed on the Warsaw Stock Exchange, announced plans for a 10 million zloty ($3.2 million) stock offering to finance planned equity investments in unnamed privately held FMCG companies. Warsaw-based firm now has 2.3 million shares outstanding trading at just over 6 zloty per share. 'We've decided to go back to equity investments and that's why we would like to raise money on the stock market', chief executive Paweł Bala told PARKIET on Monday. His firm bought small stakes in two publicly traded IT stocks back in 2002. It then focused on IPO and private equity investment services for other Polish companies.

FDI

F-16 related investments may have doubled last year, government says

Investments and technology transfers associated with the purchase of F-16 fighter jets from Lockheed Martin may have reached 1.5 billion dollars last year, senior official at the Economy Ministry told PARKIET yesterday. Lockheed Martin and its business partners are supposed to invest as much as six billion dollars in Poland under the terms of F-16 contract, signed in late 2002.

Steel industry

FAM to buy back stock

FAM Technika Odlewnicza, a specialty steel manufacturer from Chełmno plans to buy back 2 million zloty worth of stock just months after a semi-successful IPO. Its shares fell by a third since the stock offering in September, closing at 12.6 zloty yesterday. The company now says it could buy up to 164.600 shares, or 4.7 percent of the total.

Equity markets

WSE creates media index

Warsaw Stock Exchange created a new industry index that tracks the fortunes of media stocks listed on the local bourse. The index is made up of six media stocks, up from just two a year ago. Main components of WIG-Media include Agora newspaper publishing group, which accounts for over half its value, TVN SA, no. 2 private television station, as well as four smaller stocks - WSiP textbook publisher, leading Internet advertising company Grupa Onet, Broker FM, the owner of RMF FM radio station and ATM Grupa, an independent TV producer.