Polish fibre optic network operator Hawe (WSE:HWE) is set to file a motion of bankruptcy, its management board has reportedly indicated. The development comes less than a month after the company denied reports that its finances could be compromised as a result of legal claims, stating there was no evidence it would file for bankruptcy.
Such a move, now a reality, will leave the door open for a creditors’ agreement, reports Reuters.
The company has had a rocky year, with sudden top management changes, a failed bid for TK Telekom, a collapsed sale to Polish investment advisory holding Powszechne Towarzystwo Inwestycyjne (PTI) and a decision by management to acquire a 17.58% stake in the business.
On August, days before bankruptcy speculation began, Trinitybay Investments reduced its stake from 14.37% to around 5.4%. The top two shareholders are now Petrenams Ltd (9.3%) and Marek Falenta (7.9%), according to Capital IQ.
There are also questions around the value of bonds Hawe must redeem by the end of the year, with estimates reportedly ranging from PLN 35m (US$9.2m) to PLN 80m (US$21.1m).
The company’s share price has fallen from PLN2.44 in May to PLN0.47 today, giving it a market cap of PLN 58.98m (US$15.56m).
Hawe operates a 3,300km fibre network linking Poland to Russia, Lithuania, Belarus, Ukraine and Germany.
Spokespeople for Hawe and Trinitybay were not immediately available for comment.