Katowice steel concern Stalexport seeks new share issue

Changes in the ownership structure of the stock exchange-listed steel trading company Stalexport should take place in the first quarter of 2003, according to the company's chairman, and erstwhile State Treasury Minister, Emil Wasacz. At the troubled Katowice-based company's extraordinary shareholders' meeting, planned for early November, current shareholders will decide whether to conduct a new share issue aimed at creditors. Stalexport wants to convert 35% of its liabilities into shares. Its liabilities currently amount to zl. 605 million, while recently 40% of the company's debts were cancelled. "We have already talked to creditors. Some of them, including owners of foreign bonds, expressed their consent to converting debts into shares in the company," said Wasacz. As a result of this operation the company's creditors, mainly banks, would take over control of the company and the European Bank for Reconstruction and Development (EBOR), holding over 30%, would lose its influence. Chairman Wasacz is clear about the fact that in the event of the conversion not being made, Stalexport will go bankrupt. In 2001, Stalexport recorded a zl. 312.9 million loss. (Puls Biznesu, p. 4) M.T.