Polish state rail operator PKP has continued its gradual privatisation, completing the sale of subsidiary TK Telekom.
PKP has sold 100 per cent of the shares in TK Telekom to Netia for 221 million (€54.6 million).
TK Telekom was created in the year 2000 following a restructuring of the PKP group prompted by Poland’s pending membership to the EU.
PKP Cargo, Poland’s largest freight operator, was the first part of the business to be listed on the Warsaw Stock Exchange.
PKP began the initial public offering (IPO) for TK Telekom in 2011. The sale remains subject to approval.
The privatisation is part of a strategy to dispose of non-core assets to help the company repay “historic debt”. Over the last three years, PKP has paid back 80 per cent of its debts, which currently stand at 0.8 billion zł (€198 million).
That would be “privatisation” as in “private”.