Polish state-owned railways operator PKP is reportedly making a renewed attempt to sell fixed-line telecoms unit TK Telekom, inviting expressions of interest from potential buyers.
PKP has hired local firm mCorporate Finance to send out teaser…
Polish state-owned railways operator PKP is reportedly making a renewed attempt to sell fixed-line telecoms unit TK Telekom, inviting expressions of interest from potential buyers.
PKP has hired local firm mCorporate Finance to send out teaser information on the Warsaw-based telco, which analysts have valued at about PLN400m (US$121m), local media reported citing an official document.
Expressions of interest should be made by 31 October, while initial bids are due by 19 November, the reports stated.
The railway firm may choose to enter talks with one or more entities.
PKP executive Jacek Leonkiewicz has been quoted as saying both strategic and financial players are expected to express interest in the telco and sees the sale to be finalised in 2015.
PKP, which aims to reduce debt and upgrade its train system, has tried to sell TK Telekom previously but failed to find a buyer willing to meet its valuation. The railway firm held parallel talks with local operators Netia, GTS, now owned by Deutsche Telekom, and Hawe in consortium with IT Polpager before calling off the process in February 2013.
Potential investors were reportedly put off by its complex structure and high number of staff.
Leonkiewicz reportedly said TK Telekom has since reduced its staff by about two-thirds to 500.
A PKP spokesperson confirmed in late April that the company would re-launch a sales process for TK Telekom this autumn. That same month, PKP CEO Jakub Karnowski told local media the telecoms unit should prove much more attractive to potential investors now it had completed a reorganisation.
Neither PKP nor TK Telekom was immediately available for comment.
TK Telekom claims to manage one of the largest telecoms networks in Poland, comprising 22,000km of copper and 6,000km of fibre optic cable, mainly around railway tracks.
