PKO BP and government clash over privatization plan

Management wants a portion of the bank's shares to be offered on the Warsaw Stock Exchange (WSE) rather than to be sold to a controlling investor. While the recently completed privatization plan does not rule out the idea of a public offering eventually, it suggests first finding an investor that would take control of the bank. Bank industry watchers were not surprised that management and the government had come to different conclusions on the sale. "PKO's board would like to see a solution similar to Bank Handlowy and it's only natural," said Marek Juras, a banking analyst with Erste Securities Polska. "A dispersed shareholders' structure means more freedom for the management board." (Warsaw Business Journal, page 1)