Parties interested in acquiring fixed-line network operator TK Telekom, owned by the Polish railway, have been offered financial help from the European Bank for Reconstruction and Development (EBRD).
The development bank has sent state-owned rail…
Parties interested in acquiring fixed-line network operator TK Telekom, owned by the Polish railway, have been offered financial help from the European Bank for Reconstruction and Development (EBRD).
The development bank has sent state-owned rail operator PKP a letter of intent pledging to offer funding to potential investors, providing they receive consent from the EBRD’s credit committee.
Potential bidders have been made aware of the EBRD proposition.
PKP’s managing director for the privatisation, Jacek Leonkiewicz, said the bank’s offer showed “real support” for the process.
The privatisation of TK Telekom has been talked about for a number of years and a sale process has failed in the past. The latest tender began on 20 October.
Analysts have valued TK Telekom, which is Poland’s fourth-largest telecoms network, at PLN400m (US$121m).
Earlier this month, the deadline for preliminary bids was extended – from 19 November to 26 November – which was down to investors needing more time to examine the company, Leonkiewicz said.
mCorporate Finance and Audytel are financial advisers to PKP in the process and Weil, Gotshal & Manges is serving as counsel. The railway firm expects the sale to be completed by the end of the first half of 2015.
