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Govt. unveils new plan to save ailing Kompania Węglowa

PR dla Zagranicy
Jo Harper 09.09.2015 09:05
The government has approved a plan to transfer part of its shares in state-owned oil and gas group PGNiG, utility PGE and insurer PZU into an investment fund that will use them as collateral to raise cash for ailing miner Kompania Węglowa.
East NewsEast News

The Treasury Ministry had asked the cabinet to approve the transfer of a two percent stake in PGNiG, a one percent stake in PGE and a one percent stake in PZU to the state-controlled TF Silesia fund.

The stakes are worth a combined PLN 1.4 billion (USD 370 million). The Treasury said it did not expect the fund to sell them on the market, but use them as collateral to obtain loans, which would be used to help Kompania Węglowa, which noted a PLN 1.13 billion loss in 2014 .

Kompania Węglowa, the biggest coking coal producer in the EU, has been trying to restructure but has struggled to find investors. (jh)

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