Share issue likely to give KBC control of Kredyt Bank

Belgian bank KBC may call a buy-out bid for Kredyt Bank in late 2001 or early 2002, should it pass the 50% ownership threshold in the Polish bank during a share issue later this month. Kredyt Bank is planning to earn as much zl.872 million from the new share issue, which is one of the largest in the history of the Polish stock market. KBC is expected to seize the opportunity to increase its stake in Kredyt Bank, since the issue price is set at a level that will deter small investors. Speaking at a news conference yesterday, Kredyt Bank president Stanislaw Pacuk said, "KBC will exceed 50% after the share issue. We are likely to register new shares in October, and so a public bid may take place at the turn of the year." Under Polish law, an investor that exceeds 50% in a Warsaw-listed company is required to call a public bid for all the shares it does not yet own. (Gazeta Wyborcza, p. 21; Reuters) A.Z.