Warsaw and Poznan commodities markets begin negotiations for merger

Representatives of the Poznan Commodities Exchange (GP) came to Warsaw yesterday to start negotiations on the possibility of merging with their Warsaw counterpart. Analysts greeted this news with delighted approval; most of them think that a merger of the markets is required to achieve objective prices. "Joining the EU in the near future also speaks for creation of a big domestic market," said GP head Michal Jerzak. "This would make competition possible with European exchanges." The merger would probably also satisfy the Securities and Stock Exchange Commission (KNB), which is trying to deal with smaller markets by requiring licenses beginning in November 2002, and available only to exchanges with share capital exceeding zl.3 million. The Warsaw Commodities Exchanges is by far the biggest in Poland, with share capital of zl.17.8 million. Its major co-owners include the Komorowski and Lukowski families; ZPZ Szymanow; Warsaw Equity Holding; and Bank Wspolpracy Regionalnej. GP has share capital of some zl.3.2 million, with 21% owned by Invest-Bank, 10% by Agricultural Market Agency (ARR), and 6% by Wielkopolska Food Fund. (Rzeczpospolita, March 24-25, p.B2) M. K.