PKP Cargo says that it expects to finalise the sale in the second quarter of this year, and while the value of the deal has not been disclosed, the share acquisition is being made in exchange for cash and locomotives.

The acquisition is subject to approval from Poland's Office of Competition and Consumer Protection.

KGHM has been seeking a strategic partner for its railfreight unit as part of a plan to refocus its resources on its core business activities.

Last month PKP Cargo acquired an 80% stake in Czech open-access operator AWT as part of its strategy to expand its international railfreight business.