Katowicki Holding Węglowy plans issue of €500 mln euro bonds

Katowicki Holding Węglowy (KHW), a Polish state-controlled coal producer plans to issue euro bonds worth €500 million, the KHW board of directors announced at a press conference on Friday. The money raise from the bond issue will be utilized to buy out the current bond program and complement the turnover capital. Due to the worse demand for coal, as well as its dropping prices, the company has noted a significant decrease of revenue. According to deputy president of KGH Artur Trzeciakowski, the company has received several offers from different European countries to introduce the bonds to the European markets. However, before KHW issues bonds, it must be subject to the rating process conducted by two international rating firms.