Softbank rumored to be preparing a Q1 share issue

Puls Biznesu has leant unofficially that IT system integrator Softbank is preparing a public share issue in the first quarter of next year. The funds raised will be used to finance contracts which were won this year, such as the Central Register of Drivers and Vehicles (CEPiK) worth zł. 189 million, and implementation of a zł. 450 million comprehensive computer system for PKO BP. The rise in capital should amount to around 20%, and the company hopes to raise between zł. 70-100 million. "The final decision has not yet been made, however it is very probable," said a person close to the company. PKO BP will pay for its IT system in installments beginning in a couple of years, and therefore Softbank had to secure bank guarantees to back the contract. According to market analysts, if Softbank fails to go ahead with its issue, then it will be short of cash to fight for further contracts in 2004. (Puls Biznesu, pp. 1, 4) A.K.