News Parkiet

Petrochemicals

Orlen needs to strengthen management,

CEO says

PKN Orlen refinery must do more to strengthen its management team, restructure Czech oil company Unipetrol and improve corporate image smeared by black PR and other scandals, chief executive Igor Chalupec said. PKN?s board of directors may replace some of company?s senior executives after meeting next Monday.

Chalupec, who became Orlen?s CEO less than two weeks ago, is about to sign an executive contract that expires in mid-2008. Prior to his appointment at PKN by the Polish government, Chalupec spent years working as investment banker at Pekao SA.

Privatization

Poland to boost PKO BP offering for individual investors

Polish government may increase the number of shares of PKO BP that will be offered to individual investors from 25 to 40 percent of the total offering, Treasury Minister Jacek Socha said at a conference yesterday. Final decision will be made on November 3, after tallying the demand from local investors, Socha said.

Food processing

Profi closer to IPO

Polish SEC has cleared IPO plans of Profi SA, a mid-sized maker of canned meat pies from Wielkopolska region in central Poland yesterday. The firm plans to sell 0.76 million shares, diluting stakes held by the eight founders of Grabów-based company by a third. Existing shareholders may sell 0.52 million existing shares. Sources close to the situation said earlier the IPO may be worth about 50 million zloty.

Profi?s original shareholders will retain control over the company through the use of preferred stock.

Energy

Praterm to list on WSE

Warsaw utility Praterm SA has filed for IPO on the Warsaw Stock Exchange, sources close to the company told PARKIET yesterday. Praterm, which owns and operates nine small heat generating plants and one combined heat and power generating facility across Poland, wants to go public before the end of this year. The group plans to use IPO proceeds to buy out other local utility companies.

Last year Praterm reported earnings of PLN 4.6 million ($1.3 million) on sales of approximately 84 million zloty, 80 percent more than in 2002. Operating income was up 42 percent.

Building materials

Jupiter sells Nowa Gala ceramic

tile-maker

NFI Jupiter privatization fund raised approximately 120 million zloty selling 51 percent stake in Ceramika Nowa Gala ceramic tile factory in a series of after hours trades to institutional investors. Originally founded in mid-1990?s to mange the sale and restructuring of state-owned firms, the fund paid 53 million zloty for its stake in Nowa Gala, a private start-up.