Anti-monopoly application to the European Commission
The Management Board of PKN ORLEN informs, that on the 11th March, 2005 they delivered to the European Commission Directorate General for Competition the notification issue concerning PKN ORLEN’s purchase of 62,99% of Unipetrol a.s. holding shares. Delivering of this application is connected with the necessity of fulfilling the last of suspending conditions, reserved in the conditional agreement of Unipetrol a.s. holding’s shares purchase signed on the 4th June, 2004 between Czech Republic National Treasure Fund and PKN ORLEN, concerning achieving the acceptance of the right anti-monopoly office.
The decision of the European Commission will be announced by PKN ORLEN in a another communicate.
Purchase of Unipetrol shares is the biggest Polish foreign investment, strengthening the position of PKN ORLEN as the regional leader in the sector of crude oil and petrochemical products procession.
Transaction increases the competitiveness of joined companies in Central and East Europe. Total production capacity of ORLEN and Unipetrol refineries will allow building strong position of both companies in the oil processing sector. Fusion of the companies will also strengthen their position in the area of retail sale and will allow to fully use synergy effects.
In our opinion the application is well prepared and we hope it will find appreciation with the Commission - says Cezary Smorszczewski, PKN ORLEN’s Vice-President responsible for capital investments, including integration with Unipetrol. The proof of the market counting on the success of Unipetrol’s integration are current quotations of this company on the Prague stock-exchange. Following the Czech law, after the European Commission decision and transaction closing we will announce the minority shareholders buy out offering the fair price according to the proces mechanism. We treat rising prices of Unipetrol shares as the argument making us think about leaving the company on the Prague stock market.
