Impex sells stake in Zawiercie to CMC

Impexmetal has sold its 71.1% stake in the Huta Zawiercie steel mill to American Commercial Metals Company (CMC) for zł. 200 million. This means that the whole plant is worth zł. 281 million, thanks to substantial investments by the previous owner. "We have always seen our shares in Zawiercie as a medium term investment and consequently it should be no surprise that we have sold them. We need money to reduce our liabilities and finance sector acquisitions," said Jerzy Kamiński, president of Impexmetal. According to Stanley A. Rabin, president of CMC, Zawiercie will become the center of its expansion into this part of Europe. The company plans investments in the plant, but its representatives would not reveal any details. However, they added that they would negotiate the terms for purchasing the remaining stake from the State Treasury. Zawiercie steel mill posted profits of zł. 63 million after three quarters of 2003. (Gazeta Wyborcza, p. 21) M.M.