BRE Bank signs initial agreement for purchase of El-Net

As bank consortium leader, BRE Bank has signed an initial agreement for the purchase of El-Net, a stationary telephone operator owned by Elektrim Telekomunikacja. The final contract is to be signed within a couple of months, after specific details are agreed on with the buyer. The financial terms of the contract were not revealed; however, no serious cash transaction is expected, because the operator is heavily indebted to the banks that are now taking it over. The consortium has granted El-Net a loan of zł. 305 million, out of which zł.160 million has yet to be repaid. Although the transaction is almost finalized, sector investors are still interested in the company. "We are awaiting the decision from BRE Bank and we have always been interested in the acquisition of El-Net," said Netia spokesperson, Jolanta Ciesielska. Other companies that were interested in the company, include KGHM-owned Telefonia Dialog and EVL Poland. (Puls Biznesu, p. 6) A.K.