November 08, 2017

Polish banks ride to the aid of Pesa

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POLISH rolling stock manufacturer Pesa has secured a Zlotys 200m ($US 54.7m) loan from a consortium of six financial institutions led by PKO Bank Polski, which will enable the Bydgoszcz-based supplier to complete the restructuring of its business and maintain its liquidity until a strategic investor can be found.

The company has recently suffered a number of setbacks, including a reduction in the number of Fokstrot LRVs on order for Moscow, and PKP Intercity’s decision not to exercise an option for additional Dart long-distance EMUs.

So far this year Pesa has secured orders for its new Elf 2 EMU from three Polish regions, while the cities of Bydgoszcz, Lodz, Gorzów, Częstochowa and Krakow have ordered a total of 94 LRVs from the company. However, Pesa says it lacks the funds it needs to execute new orders and has also had difficulty obtaining the insurance guarantees necessary for new contracts.

“This was a long and difficult negotiation,” says Pesa president Mr Robert Świechowicz. “The contract and the granted credit will enable Pesa to obtain new orders. The next phase is restructuring and further talks with investors. All this will guarantee the stable development of Pesa.”

The banks have given Pesa until the end of the first quarter of next year to find a strategic investor.

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