News Parkiet

Pharmaceuticals

Jelfa shares rise on bid by Polfa Kutno

Shares of Jelfa S.A. rose as much as 8.6 percent after drug-maker Polfa Kutno offered to buy 29.8 percent stake from the government. The stock closed at 54.5 zloty in very heavy trading. Pension fund-controlled Polfa offered to pay 49 zloty per share for the two million shares now held by the State Treasury.

Conglomerates

Elektrim terminates Vivendi agreement

Elektrim power and telecoms group said it would no longer abide by the terms of September 2001 investment agreement with Vivendi over joint control of PTC mobile phone company. Former communist-era trading company said the French have breached the terms of agreement with Vivendi by lending 100 million euro to Luxembourg-registered Ymer Finance investment fund, which posed as an independent third party. Ymer then bought 2 percent stake in Poland?s largest mobile telecommunications firm.

Corporate governance

Betacom managers to repay company loans

Senior executives and board members of Betacom S.A. promised to pay back all outstanding loans owed to e-learning company by the end of March. Polish stock market authorities have asked the company to issue a public statement on 0.43 million zloty loans given to insiders last year.

Engineering

Polimex is back in Russia

Polimex-Cekop engineering group has signed a 35-million euro contract to build new starch factory in Russia?s Kaliningrad district. The company, part-owned by Citigroup estimates that international contracts will account for half of this year?s sales. Its main export markets include Germany, Russia, Iran and Libya.

In 2003 privately-held Polimex posted group earnings of some 20 million zloty on sales of PLN 1.13 billion ($290 million).

Insurance

PZU to pay record dividends this year

PZU insurance group could pay as much as 500 million zloty in dividends from last year?s earnings. Estimates by PARKIET indicate, Poland?s national insurance firm made at least 850 million zloty last year, including earnings of PTE PZU pension fund and PZU Życie life insurer.

Last year state-owned PZU, whose full name is Powszechny Zakład Ubezpieczeniowy paid out 15 percent of its earnings. This year, Polish government is expected to push for much higher payout to compensate for privatization shortfall.

PZU group?s net assets total at least 6.3 billion zloty.

Banking

Santander buys PTF

consumer finance company

Spain?s Santander Central Hispano has agreed to pay as much as 33 million euro for Polish car loan company Polskie Towarzystwo Finansowe, Poland?s fourth largest independent consumer finance company.

As part of the purchase, Santander will buy PTF?s loan portfolio for a total of 470 million euro.

Privately held PTF posted net earnings of 17 million zloty (3.6 million euro) last year.

GNP

Polish economy picks up

Poland?s economy rose 4.7 percent in the fourth quarter of last year, the country?s Main Office of Statistics (GUS) said on Friday. Economists warn however the recovery may not last because of low capital spending. Unemployment was up again, rising 0.6 percentage points to 20.6 percent, GUS said.

Equity markets

Artman files for IPO

Krakow-based clothing retailer Artman S.A. plans to file for IPO on the Warsaw bourse within two weeks. Shareholders of the company, best known for designer clothing sold under ?House? brand have already scheduled a meeting to vote on new stock issue next week. Artman will file an issuing prospectus with the stock market authorities a few days later, sources at the company told PARKIET on Friday.

The firm said earlier it would try to raise up to 30 million zloty ($7.7 million) to pay for the expansion of its national store chain.

Information Technology

DM BZ WBK rates ComputerLand ?outperform?AIB group?s Polish broker Dom Maklerski BZ WBK has issued an ?outperform? rating for ComputerLand, the country?s second largest IT services company. In a research note dated February 18 DM BZ WBK has raised the stock?s target price to 120 zloty citing strong 4Q earnings and a record order backlog for this year.