Big Ukrainian set on Poland
The company is ready to invest EUR100 million the first example of Ukrainian investment in the country on such a scale.
"Should we win the tender, this is just the beginning," says Konstanty Litwinow, Donbas' representative for Poland. "We aim to create an entire production chain of factories, from mining to shipyards. We're talking about hundreds of millions [of dollars] here." The company, whose annual turnover is estimated at an impressive $3.8 billion (zł.13.4 billion), has already invested in two steelworks in Hungary and aims to create a trans-European steel corporation.
The current owner of Częstochowa, Towarzystwo Finansowe Silesia, which represents the State Treasury, will likely announce the date of the tender within the next two weeks. Apart from Donbas, the offer will be of interest to international steel enterprise LNM, which is already well accustomed to the local market, producing about 70 percent of Polish steel with four steelworks in the country.
Indeed Częstochowa, producing over 65 percent of the steel sheets manufactured in Poland, is a worthy acquisition for anyone. The company managed to reduce its zł.40 million debt and is finally generating profits, in large part because steel prices on international markets have risen steadily over the last two years.
"If we were down to the ground or even below it a year ago, then we are somewhere in heaven now," says Częstochowa Steelworks' Wojciech Mikołajczyk, adding that road blockades made then by 1,900 desperate workers are nothing more than an unpleasant memory. Despite that, observers agree the steelworks is in need of additional funds for necessary investments. If Donbas succeeds, the company will become a pioneer of Ukrainian business in Poland.
"I feel like I work at an embassy," says Litwinow. "Our corporation is still perceived here as a representative of Ukraine's enterprises, not as a private firm." He admits that convincing Poles to take a Ukrainian partner seriously takes time and effort. B.K.
"Should we win the tender, this is just the beginning," says Konstanty Litwinow, Donbas' representative for Poland. "We aim to create an entire production chain of factories, from mining to shipyards. We're talking about hundreds of millions [of dollars] here." The company, whose annual turnover is estimated at an impressive $3.8 billion (zł.13.4 billion), has already invested in two steelworks in Hungary and aims to create a trans-European steel corporation.
The current owner of Częstochowa, Towarzystwo Finansowe Silesia, which represents the State Treasury, will likely announce the date of the tender within the next two weeks. Apart from Donbas, the offer will be of interest to international steel enterprise LNM, which is already well accustomed to the local market, producing about 70 percent of Polish steel with four steelworks in the country.
Indeed Częstochowa, producing over 65 percent of the steel sheets manufactured in Poland, is a worthy acquisition for anyone. The company managed to reduce its zł.40 million debt and is finally generating profits, in large part because steel prices on international markets have risen steadily over the last two years.
"If we were down to the ground or even below it a year ago, then we are somewhere in heaven now," says Częstochowa Steelworks' Wojciech Mikołajczyk, adding that road blockades made then by 1,900 desperate workers are nothing more than an unpleasant memory. Despite that, observers agree the steelworks is in need of additional funds for necessary investments. If Donbas succeeds, the company will become a pioneer of Ukrainian business in Poland.
"I feel like I work at an embassy," says Litwinow. "Our corporation is still perceived here as a representative of Ukraine's enterprises, not as a private firm." He admits that convincing Poles to take a Ukrainian partner seriously takes time and effort. B.K.
