A Finn-ished investment

Finnish firm Eltel Networks has just taken over K-Tel, the leading domestic producer and maintainer of infrastructure for the telecommunications sector, as well as the main services-supplier for fixed-line telephone networks, in a transaction whose value has not been disclosed. The move is expected to secure and strengthen K-Tel's position on the Polish market.

"The growing competition on the market requires us to seek new solutions for development," said Eugeniusz Pietruszewski, K-Tel's CEO. "It is more and more difficult to remain number one in the branch. Without this acquisition, we might soon fall into the role of sub-supplier of a supplier," he added.

"This is the biggest acquisition Eltel has ever made," stated Tuomo Rönkkö, CEO of Eltel Networks. Eltel, which produces and maintains electricity, telecommunications and other networks, has been operating in Poland since 2003 when it took over the Olsztyn electrical company. Other Eltel-controlled companies include Energoprojekt Kraków and Eltel Networks Telecom. The recent takeover makes Eltel the largest Finnish employer in Poland, with a total of 2,300 employees, which henceforth constitute 28 percent of the company's total workforce.

"Until now, Finnish investments have concentrated on the Scandinavian market," said Jan Store, Finland's ambassador in Poland. He also claimed that it was a good time to take advantage of the opportunity and operate throughout the Baltic region, adding that he saw Poland as one of the most dynamic, competitive and forward-looking markets in the EU.

"We have the know-how and technology, but we are humble-minded to learn and understand the specificity of the Polish market," declared Rönkkö. "We invite you all to join the journey. There will be some fun too," he added.