PKN Orlen sells subsidiaries

PKN Orlen is selling its railway and transportation subsidiaries, Orlen KolTrans and Orlen Transport, the refiner reported. In total, the transactions will reach a value of PLN 335 million. State-controlled PKP Cargo will acquire stakes at Orlen KolTrans and the organized part of Euronaft Trzebina for over PLN 250 million. As the media informed earlier, Trans Polonia will purchase Orlen Transport along with the company's trucker fleet for some PLN 85 million. At the same time, long-term contracts for logistic service of the group will be signed with the new owners of the subsidiaries. PKP Cargo estimated that the mergers as a result of the deal will amount to an annual worth of PLN 10 million. It also said that it is going to merge the two companies. The transactions have to be approved by the anti-monopoly watchdog UOKiK in order to complete them.