New fund launches in tough times, yet beats the expected timeline
Innova Capital private equity fund is looking for an investor to purchase a minority package of Meritum Bank shares.
Krzysztof Kulig from Innova Capital says that the fund is not intending to withdraw from Meritum altogether and the new investor would only be expected to contribute to the bank’s further development. According to unofficial information, however, there might be a possibility of selling a majority package as well. The majority package was purchased by Innova from the Bank of European Co-operation almost three years ago. Innova has changed the board of directors and announced a new strategy for Meritum, whose headquarters have been moved from Wroclaw to Gdansk. The crisis has forced the bank to change its development strategy. The opening of five new units will be delayed until next year. Currently, it needs an investor to assist it in purchasing credit portfolios from other financial institutions.
Bumar to Expand
The government is planning to expand the armaments holding Bumar by several new factories and research and development companies. The enterprise, with last year’s profits amounting to ZL3.2bn, has fallen victim to the crisis and armaments order reductions in 2009. The government is doing its best to realise its strategy of consolidation and restructuring of the armaments industry. It is also likely that Bumar will soon be introduced to the stock exchange. The Treasury Ministry is planning to offer Bumar the shares of seven Treasury-controlled companies in exchange for increasing its share in Bumar’s founding capital after the restructuring. It is difficult to predict how much the value of the enterprise will increase after the expansion. Currently, the founding capital amounts to ZL818m. Chairmen of the companies to be merged with Bumar are surprised with the pace of the process; they expected that the ministry would wait until the situation of the armaments industry has stabilised after the crisis.