Stock Spike Complicates Koelner’s Bid for Srubex
Stock Spike Complicates Koelner’s Bid for Srubex
Jason Sandefur
Polish fastener maker Koelner Group’s attempt to acquire capital control of fastener manufacturer Srubex SA may be in doubt. Increasing demand for Srubex shares has driven its stock price up nearly 30%, leaving analysts to speculate that Koelner may sell its 20% stake in Srubrex instead of acquiring more shares, Polish News Bulletin reported.
“We are not desperate to purchase Srubex at any price,” stated Koelner chairman Przemyslaw Koelner. “The company is in a bad shape and needs to be heavily invested in.”
Srubex is reportedly breaking even at present, though recent analysis by BRE Bank forecasted that in 2007 the company could generate a profit of PLN 7.6 million (US$2.64m).
Koelner announced its intention to buy Srubex in October, saying that it would continue to buy out shareholders through the end of 2006. After acquiring control, consolidating the two firms was expected to take a year (see FIN 11/1/06).
Koelner produces construction and industrial fasteners. Its brands include Rawl, Rawlplug, Modeco, Modeco Expert and Globus.
Koelner forecasts its 2006 profit to reach PLN 40 million (US$12.9m) on estimated sales of PLN 380 million (US$122.6m). Web: koelner.biz �2006 FastenerNews.com
There are no comments at the moment, do you want to add one?
Write a comment