PKN rumored to be mulling tie-up with Hungary's MOL

Rumors have it that Poland's largest oil producer PKN may now be considering forming ties with Hungary's main oil concern MOL, which allegedly fears that Russian energy giant Gazprom is keen on investing heavily in Hungary. The Russians are also rumored to be eyeing another Hungarian behemoth, petrochemical company TVK, in which MOL holds a 32.9% stake. PKN is said to be interested in part of MOL through an upcoming share issue, which the Hungarian company is now considering selling directly to PKN. If the Poles do acquire these shares, they would own a stake of 9.1% in the Hungarian company, with the price of the issue estimated at about $200 million. Analysts say the Hungarians would then use the money to take part in the privatization of Rafineria Gdanska. CDM Pekao analyst Rafal Jankowski said acquiring the shares should be no problem for the Polish concern. (Prawo i gospodarka, pp. 1, 11) M.M.