Bank BPH PBK seeks new investor for 70% of GBG

Bank BPH PBK has once again turned to its advisor CA IB to find an investor for Górnośląski Bank Gospodarczy (GBG) after breaking off negotiations for the sale of the bank a few weeks ago with Banco Santander Central Hispano over price disagreements. According to Wojciech Sobieraj, the vice-chairman of BPH PBK, at least 70% of GBG would be for sale - the estimated value of the whole company being zł. 400 million. Last year its return on equity (ROE) reached 24%, making GBG one of the most profitable businesses in Europe. The bank's net profit last year was zł. 36.4 million and it closed Q1, 2003 zł. 12 million in the black. In related news, yesterday BPH PBK signed a contract with Kreditanstalt fur Wiederaufbau under which the latter will make available a credit line of euro 25 million for loans to small and medium enterprises. (Parkiet, p. 5) J.K.