Construction companies Polnord and Energobudowa appears to be merger of equals

Wielkopolski Bank Kredytowy (WBK) is calculating the value of construction companies Polnord and Energobudowa to prepare for their merger. According to Polnord management board president Andrzej Ubertowski it is too early to reveal any information about the parity rate for the share exchange. However both companies are very similar to each other in size, revenues and own capital leading to a probable 1:1 parity rate. Energobudowa already owns over 25% of shares in Polnord. According to Ubertowski the merger benefits would be an increase in share liquidity and an increase in market capitalization to $100 million which should encourage bigger investors to acquire these securities. Other advantages would be greater diversification both in terms geography and range of services. The new headquarters will be in Trojmiasto. (Parkiet 1, 2)