Crucial consolidation should sweeten the future of confectionary giants

Representatives of leading companies in the confectionary industry say this year will be crucial for many firms, with significant takeovers possible. According to Raciborz-based ZPC Mieszko chairman Tomasz Gajdzinski, the biggest companies in the sector with revenue between zl.100 and zl.200 million, will experience consolidation this year. "A strong sector investor can assure us wider access to foreign markets. It seems that for further operation of confectionary firms, exports may turn out to be necessary," said Gajdzinski. Krakow-based Wawel is particularly well-placed; last month German confectionary company Gustav F.W. Hamester became owner of 22% of votes in Wawel general shareholders' meetings. In increasing its stake in Wawel, the German concern may provide entry to foreign markets for the company. "This is certainly not a short-term investment," insisted Wawel President Dariusz Orlowski. "Specific negotiations await us in the nearest future, and one of the discussion points will be the possibility of expanding Gustav's participation in Wawel, thanks to which it can enter our domestic market..." The most valuable companies listed on the Warsaw Stock Exchange, Jutrzenka, Mieszko and Wawel are estimated respectively at zl.66 million, zl.49 million and zl.35 million, figures their chairmen all claim are far too low. (Puls Biznesu, p. 25), M.T.