Poland Appliance Giant Zelmer Aims to Strengthen EU Presence Aug 24, 2004

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The prospectus for Rzeszów-based Zelmer, said to be one of Poland's largest domestic household appliance producers, will be submitted to the Securities and Stock Exchange Commission (KPWiG) in August.

It is possible that a public offer for 85 percent of the state-owned company will take place at the end of November because the company has been preparing for the deal since March. Before the prospectus reaches KPWiG, the deputy Finance Minister will have a few days to get acquainted with it before approving it.

Analysts estimate that Zelmer's IPO will be worth some 200-300 million PLN (approx. U.S. $54.8 million to $82.3 million). Zelmer also plans another share issue later in 2005, from which the management wants to collect another 140 million PLN (approx. $38.4 million) for the company's development.

Zelmer plans to strengthen its position on central and eastern European markets as well as entering the EU market under its own brand. It is also possible that the company will try to take over similar German and Ukrainian companies. (Warsaw Business Journal Online)

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