Mostostal Export to sell subsidiary to BBI Capital

Surprisingly, Mostostal Export subsidiary Instal Lublin will be sold to BBI Capital with the transaction to be concluded by June 2, while the market was speculating the firm would be sold to Stormm.

"I do not wish to comment. All will be revealed at the beginning of June," said Dawid Sukacz, BBI Capital managing directror. Michał Skipietrow, president of Mostostal Export, added that all information will be delivered in an official communiqué for the WSE.

The transaction will substantially decrease Mostostal-Export's potential with the number of employees falling from about 700 persons to roughly 400. An opportunity to boost its revenues is the long-awaited breakthrough in carrying out orders in the Eastern markets, mainly in the Russian Federation.

However, the firm is also concluding talks over the acquisition of a strategic investor, which will now take over a small construction company with two plots and a recognizable brand with an estimated value of roughly zł.200 million.

Source: Parkiet